Former U.S. Congressman Patrick McHenry stated that ex-SEC Chairman SEC Gary Gensler privately exhibited a more balanced view on cryptocurrencies than in his public statements. He shared this on the Crypto In America podcast.
?SCOOP: @PatrickMcHenry reveals that former SEC chief Gary Gensler was not as anti-crypto in private as he was in public.
“I think it had more to do with Senate politics, and confirmation politics.”
Full episode with the former Chair of @FinancialCmte out tomorrow AM! pic.twitter.com/BHw7pRlRKG
— Crypto In America (@CryptoAmerica_) May 14, 2025
“Did he privately endorse cryptocurrencies as much as he publicly criticized them? No,” McHenry responded to the host’s question.
According to him, Gensler acknowledged the potential of digital assets and blockchain technology during private meetings, a subject he had previously researched at the Massachusetts Institute of Technology (MIT).
Sei Labs’ Chief Legal Officer Gerald Gallagher recalled that the former SEC head was involved in developing the concept of airdrops—a topic that became a “forgotten page” of his academic career.
However, after his appointment as Chairman of the Commission, Gensler’s stance became markedly stricter, McHenry noted.
“I naively thought he wouldn’t pressure the industry so aggressively. It was disappointing,” McHenry admitted.
He mentioned that discussions on regulatory frameworks with Gensler often turned into contradictory dialogues: the official would initially agree with arguments, only to later deny what was previously said.
McHenry attributed the former SEC head’s tactics to “Senate politics and lobbying,” rather than a genuine position.
On January 20, 2025, Gensler stepped down as Chairman of the agency and returned to MIT.
During Gensler’s tenure, the SEC initiated over 100 lawsuits against crypto companies. The stringent regulatory approach led to conflict with the industry.
In December 2024, Coinbase severed contracts with law firms employing former SEC staff.
We’ve let all the law firms we work with know, that if they hire anyone who committed these bad deeds in the (soon to be) prior administration, we will no longer be a client of theirs.
Senior partners at these law firms seem unaware of the crypto industry’s position on this.… https://t.co/k8R6NtfTV1 pic.twitter.com/RT0k408i9f
— Brian Armstrong (@brian_armstrong) December 3, 2024
In January 2025, Gemini announced a boycott of MIT graduates while Gensler teaches fintech and AI there.
As long as @MIT has any association with Gary Gensler, @Gemini will not hire any graduates from this school. Not even interns for our summer intern program. https://t.co/fi0WMIVCLp
— Tyler Winklevoss (@tyler) January 30, 2025
In April 2025, the former SEC head stated that the vast majority of cryptocurrencies lack real economic foundation. He emphasized that Bitcoin remains the only valuable asset.