Caroline Crenshaw of the SEC critiques crypto regulation before departure

Crenshaw, the last Democratic commissioner at the SEC, will depart in January 2026. She expressed concerns over the agency’s handling of digital assets, indicating that standards have ‘eroded’ and warning about the implications of inadequate regulation.

At a recent Brookings Institution event, Crenshaw criticized crypto investors for speculating without a grasp of economic fundamentals, suggesting they are often swayed by market hysteria, which could lead to increased chaos in the cryptocurrency market.