Sorry Mr Gensler. We can't trust you

"And just like any other part of the capital markets, when somebody's raising money from the public, they owe the public full, fair and truthful disclosure. When they're running a exchange, they need to have proper protections."

These are the words of none other than Gary gensler. The chair of SEC. For a long period of time Gensler and his agency been fighting crypto. He called it "the wild west". A hideout for thieves and criminals to prey upon naive and gullible. And there are some truth to his words. Crypto today is indeed riddled with scams and thefts. But is it the real reason behind SEC's crackdown on crypto?

I have my reasons to doubt Mr Gensler. For 18 years, Gary G. Gensler worked on Wall Street, striking merger deals at the Goldman Sachs. Then in the late 1990s, he moved to the Treasury Department, joining a Washington establishment that celebrated the power of markets and fought off regulation at almost every turn.

And now, the same man is concerned about a market going wild and with not enough regulations? Well, maybe Mr Gensler is indeed changed his views on the market. But then again, there are reasons to believe SEC is willfully ignoring the bigger threat.

Let's compare the size of crypto market and stocks market. The whole crypto market has a market cap of over 1 trillion. The five biggest companies of the US stocks market have a total value of over 13 trillion. Crypto is too small to cause any real damage to US economy. At least for now.

Those same corporates, spend almost a trillion dollars (almost as much as the whole crypto market cap) just on stock buyback. A highly controversial and shady practice aimed at manipulating the share price, among other things.

So it is really hard to believe SEC is fighting for market stability or customer rights. And as long as WS gets a blank check from SEC, it will be impossible to consider their crusade against crypto to be anything but gatekeeping the old market.