The Blockchain Association, a leading crypto advocacy group, reported that its member firms have collectively spent over $400 million addressing enforcement actions initiated by the US Securities and Exchange Commission (SEC) under chair Gary Gensler.
In an Oct. 31 statement, the association highlighted that Gensler’s SEC has filed 104 enforcement actions against players in the crypto sector. These actions have compelled industry members to spend an estimated $426 million in legal defenses against these regulatory challenges.
The Blockchain Association clarified that these expenses were self-reported by members and represent only a fraction of the industry. The group’s membership includes prominent names such as Ripple, Coinbase, Grayscale, Crypto.com, Paradigm, and Kraken — most still engaged in legal battles with the SEC.
In addition to financial burdens, the SEC’s aggressive approach has also led to significant job losses, stifled innovation, and reduced US investment.
Blockchain Association CEO Kristin Smith criticized the SEC’s enforcement-led approach, saying it undermines the US’ position in global tech leadership while failing to protect the American investors the agency is meant to serve.
Calls for regulatory clarity
Meanwhile, the advocacy group also conducted a national survey with HarrisX from Oct. 25 to 28, gathering input from 1,717 registered voters.
According to the group, polling data revealed a general sense among voters that the US has taken a misguided approach to crypto regulation. A significant majority indicated a preference for clear rules over enforcement-focused regulation by a margin of two-to-one.
Further, the survey found that two-thirds of voters believe the SEC should delay further action until Congress provides clearer guidelines that better protect the sector.
When asked about political affiliation, voters expressed that no single party “owns” crypto or digital assets as a campaign issue. Participants were split on which party would better support digital asset innovation, with a slight lean toward Republicans at 34%, compared to 32% for Democrats.
HarrisX’s Chief Commercial Officer Alex Chizhik said:
“Crypto owners and the crypto industry are not against regulation. They are against being singled out by a regulator aiming to score political points. They are against innovation being stiffed at the expense of American jobs and the future strength of the industry.”