Last Tuesday, the SEC through its chairman, Gary Gensler, initiated legal proceedings against the crypto platform Coinbase. The case could experience its first twist. Coinbase reportedly reported evidence of potential bad faith by Gary Gensler in this case.
Did the Chairman of the SEC manipulate the market?
Are the recent SEC lawsuits against the crypto platform Coinbase an unfounded and illegitimate charade? In any case, this is indicated by the latest information concerning the case, in particular Gary Gensler, the chairman of the SEC.
Indeed, according to a news released this Thursday, June 8 by the tweet @Capo_WSB, the manager would be accused of market manipulation. That is to say that the all-powerful boss of the SEC would have tried to take unfair advantage of the market.
He allegedly tried to distort crypto market conditions by unfairly attacking certain industry players. Evidenced by the placement, just 48 hours ago, of more than $ 2.5 million in BTC short. Information of which Coinbase would have proof. (Nothing confirmed yet!)
This transaction, if true, would have a special meaning, because the placement of funds in BTC Short objectively denotes a clear intention to make a profit. In fact, when such an operation is carried out, the investor is betting on the fall in the price of an asset.
The objective pursued by such a maneuver would be to subsequently buy back the asset at a significantly lower price, which would generate a significant capital gain. This strategy, as daring as it may seem, would be far from devoid of strategic intelligence.
If this accusation were to be proven, it could have significant repercussions not only for the career of Gary Gensler as head of the SEC, but also for the price of actions initiated by the financial regulator against Binance and Coinbase. The development of this affair therefore deserves to be followed very closely.
Gary Gensler: between cynicism and hypocrisy?
On social networks, Twitter in particular, the news has the effect of an earthquake. Between criticisms of cynicism, and those of hypocrisy, the boss of the SEC suffers the wrath of the crypto community.
Many find in these revelations the root causes of the war launched against crypto firms by the SEC. “Ah say Gary, you want to play smart?” », ironically, for example, the @ibrakvvv tweet, relaying the information.
“What a shit show! You fought with technicians and you got beaten? Has anyone told you that data mining works both ways? »adds, sarcastically, @3_HolyTrinity_ 3.
As we can see, the crypto community is not kind to Gary Gensler. This, even though no credible source has yet formalized the news. If the latter is confirmed, it would undoubtedly be an absolute victory for the crypto industry. The question of the fate of the president at the SEC will then arise. The case deserves to be followed very closely.
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