US Congressman Backs Crypto Industry And Blames FTX Issue on SEC

• Tom Emmer believes FTX’s failure was the fault of regulators and its former CEO.
• The congressmen said centralized finance should be under US regulation.
• Previously, crypto influencers pinned FTX’s ruin on its rival Binance.

Tom Emmer, a US congressman, is backing the crypto industry, arguing that the collapse of the FTX exchange was not the failure of crypto by itself but a fault of centralization. The US representative expressed this sentiment on a live TV with FOX business news yesterday.

Commenting on the billions of dollars FTX customers lost to the firm, Emmer energetically contended that the matter was about the former CEO Sam Bankman-Fried and the regulators who failed to detect the fraud before it happened. 

Emmer added that centralized finance needs to be under the US regulatory umbrella. However, according to him, the current chairman of the Securities and Exchange Commission (SEC), Gary Gensler, ‘has done nothing about that.’

However, last week, some paid crypto influencers promoted that the collapse of FTX was the handiwork of its rival exchange Binance. While testifying before the US Senate on December 14, Kevin O’Leary said point-blank that ‘Binance took FTX out of business.’

The bold claim from O’Leary unsettled the crypto community. David Schwartz, the chief technology officer (CTO) of the Ripple blockchain, described O’Leary as being shameless with lies in the face of widespread counter-evidence. The CTO further argued that if Binance had anything to do with FTX collapsing, it was a public service for exposing the FTX fraud and saving more people from falling victim.

The CEO of Binance, Changpeng Zhao, previously expressed that the multiple attacks towards him and Binance were because of his Chinese origin. Zhao, therefore, clarified that he was a Canadian citizen and that Binance was not a Chinese company.