Ex-SEC Chief of Staff Compares Liquid Staking to Lehman, Crypto Industry Fires Back
Main Idea
A former SEC official's warning about liquid staking potentially causing a Lehman-style collapse in crypto has sparked industry backlash and debate over U.S. staking token regulation.
Key Points
1. Amanda Fischer, former Chief of Staff under SEC Chair Gary Gensler, warned that liquid staking could trigger a crypto collapse similar to Lehman Brothers, citing risks from decentralization.
2. Industry participants, including Austin Campbell and Kurt Watkins, criticized Fischer's interpretation as overstating SEC guidance and conflating receipt tokens with complex products.
3. Prominent crypto figures like Matthew Sigel and Joe Doll rebuked Fischer's claims, arguing they contradict the SEC's stance and misunderstand decentralized systems.
4. Mert Mumtaz, CEO of Helius Labs, defended decentralized systems, stating Fischer's comparison to opaque financial systems was flawed.
5. Fischer's current affiliation with Better Markets, a group opposed to Bitcoin ETFs, was noted as context for her regulatory stance.
Description
Fischer’s claim that liquid staking could trigger a Lehman-style collapse sparked ire from crypto leaders, who say the risks are overstated.
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