‘SEC is Truly Broken, Leadership Sold Out,’ Says Crypto Lawyer

• Pro-XRP advocate John Deaton believes that the SEC is truly broken.
• “My God, the leadership has sold out,” said the crypto lawyer in his latest Twitter post.
• Deaton’s comments were in response to Coinbase CLO Paul Grewal’s views on SEC Chairman Gary Gensler’s entry into the AI space. 

Pro-XRP lawyer John Deaton shared his thoughts on Twitter earlier today stating that the SEC was “truly broken.” Deaton was reacting to Coinbase Chief Legal Officer Paul Grewal’s latest statement about Gary Gensler’s venture into the AI space and how the SEC Chairman was avoiding talking about crypto.

After claiming that the SEC was broken, Deaton affirmed that there were good hardworking people that made up the staff at the regulatory organization, including career SEC lawyers. But he believes that the leadership has given up on their beliefs and principles. “My God, the leadership has sold out,” said the lawyer in his post.

Both Deaton and Grewal believe that Gensler is now trying to hide from the shame of the XRP verdict. Their followers also find it amusing that the regulatory leader, once vehement in its plans to take down crypto, is now avoiding the topic entirely. “SEC/GG takes a big loss in court RE: crypto, suddenly doesn’t want to talk about it anymore. Probably unrelated,” joked one user in response to Grewal’s post.

In the Bloomberg article shared by Grewal, Gensler stated that he looks at AI as the most transformative technology of this generation. And considering that mass automation could have implications for assets in trade, which the SEC oversees, Gary’s interest in the field is understandable.

Interestingly, Gary has a long history with AI. He has even written a paper with a student at MIT on “Deep Learning and Financial Stability.”

Regarding Gensler’s foray into the AI space, there is speculation from the crypto community that the SEC chairman was looking for yet another technology he could try to control. “What makes Gary think he has jurisdiction over AI technology? Is AI a “Security” too?” asked one crypto enthusiast.