[legitster]

I think the situation can be summed up nicely by Matt Levine:

> "There is a traditional financial system, and crypto has built a different system, and the SEC has pretty much everywhere said “nah, you gotta follow the traditional system.” And crypto people have said “well we can’t really do that because ...” and the SEC has said “shh, shh, we don’t care.”

Barring an act of congress to change the purview of the SEC, I don't think there is much to stop them. Maybe there was a chance before the FTX debacle and fallout - but I think now the SEC sees the industry as weak enough to strangle with a pillow.

Good and bad, regulators act as white blood cells for the systems they regulate. Their obsession is always going to be to root out abnormalities and protect the host.