Brandt slams SEC Chairman over his faulty oversight that has continued to put individual investors at risk.
Peter Brandt, the founder, and CEO of Factor LLC, has taken to Twitter to slam the United States Securities and Exchange Commission Chairman, Gary Gensler. In a tweet yesterday, Brandt said Gensler is not a champion in protecting the interest of individual investors.
It is incredibly important to alert crypto investors to the real @GaryGensler. Gensler was previously the chair of the @CFTC, the agency overseeing futures/FX/swaps. As the responsible regulator, CFTC was the get-away driver for major bankruptcies and frauds of FCMs such as… pic.twitter.com/Jhwm9rHkC6
— Peter Brandt (@PeterLBrandt) April 25, 2023
Gensler’s Faulty Oversight at the CFTC
According to Brandt, Gensler’s faulty oversight as the then Chairman of the Commodity Futures Trading Commission (CFTC) made the agency become the get-away driver for major bankruptcies and frauds of futures commission merchants (FCM), including Refco and Peregrine Financial Group (PFG).
It is worth noting that these firms misused customers’ funds under the watchful eyes of Gensler, which eventually led to their collapse.
The veteran trader added that the CFTC, under the leadership of Gensler, manipulatively gave MF Global the approval to transfer United States customers’ segregated capital to meet its margin call in the European Union.
The collapse of MF Global majorly affected smaller clients, such as individual investors and small business clients who leveraged commodities to hedge risks and diversify their portfolios.
Gensler Is Not a Champion in Protecting Individual Investors
Following the collapse of MF Global, Refco, and Peregrine Financial, which occurred due to Gensler’s faulty oversight, Brandt said the SEC Chairman is not a champion in protecting the interests of individual investors.
He described the Chairman of the Securities and Exchange Commission as a “pawn of big banking and brokerage.” The veteran trader also cited the collapse of the cryptocurrency exchange FTX as proof of Gensler’s rat-like behavior.
In a follow-up tweet, the founder of Factor LLC added that his initial tweet showed a lack of respect toward rats.
My tweet showed a lack of respect toward rats ?
— Peter Brandt (@PeterLBrandt) April 25, 2023
Recently, cryptocurrency enthusiasts and financial experts have slammed Gensler for his adverse regulatory policies. Gensler’s enforcement actions have led to a widespread crackdown on cryptocurrency-related firms, which have continued to put investors at risk.
According to Ripple’s General Counsel Stuart Alderoty, Gensler is focused on protecting the interest of the SEC at the expense of retail investors.
Disclaimer: This content is informational and should not be considered financial advice. The views expressed in this article may include the author's personal opinions and do not reflect The Crypto Basic’s opinion. Readers are encouraged to do thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.
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