The race for the next SEC Chairman includes some big names, including Brian Brooks, Paul Atkins and Dan Gallagher. But there’s one name that attorney John Deaton doesn’t think should be considered. This is Bob Stebbins.
Deaton said Bob Stebbins previously served in the office of general counsel to SEC Chairman Jay Clayton. His role was to authorize enforcement actions, including more than 80 cryptocurrency-related cases.
Among them, Stebbins approved the controversial Ripple lawsuit despite warnings from experts that it would harm innocent investors. Ethereum also received different treatment than XRP, raising questions about fairness and bias.
The Ripple Case and Stebbins’ Role in Cryptocurrency Regulation
Stebbins has been deeply involved in the Ripple case and the SEC’s broader approach to cryptocurrencies. He signed off on the Ripple case while many of his colleagues, including the Director of Enforcement and other high-ranking SEC officials, left their positions. These massive outflows have raised concerns about the SEC’s handling of cryptocurrency regulation and enforcement.
Conflicts of Interest and Hinman Emails
Stebbins has also been linked to the controversy surrounding former SEC official Bill Hinman’s 2018 speech. He declared that Ethereum is not a security. The SEC fought to keep Hinman’s emails secret, but it is now clear that Stebbins was aware of the conflict. The speech, which gave a free pass to Ethereum, was met with heavy criticism, especially because Hinman had financial ties to Ethereum backers.
Stebbins’ Influence on Ethereum Decisions
What makes Stebbins’ intervention even more problematic is his office’s commentary on Hinman’s speech. Although Stebbins did not claim that Ethereum is a security, he opposed including it in his speech because it could limit the SEC’s ability to change its position in the future.