The US Security and Exchange Commission (SEC) is facing challenges in recruiting cryptocurrency experts, a problem attributed in part to its own policies, as highlighted in a recent document from the agency.
That document, published in October and amended on November 2, is titled The Inspector General’s Statement on the SEC’s Management and Performance Challenges.
It indicates that the agency is having difficulty hiring crypto asset specialists. Officials within the SEC report that there is a small candidate pool and strong competition from the private sector, limiting the agency’s ability to hire crypto experts.
The SEC’s own policy, which prevents some employees from owning crypto, also prevents potential candidates from being hired. One section reads:
“…Many qualified candidates own crypto assets, which the Office of the Ethics Counsel has determined would prohibit them from working on certain matters that impact or involve crypto assets…candidates are often unwilling to part with their crypto assets push to work for the SEC.”
In a separate report from Fortune, an SEC spokesperson minimized the agency’s hiring problems. That representative instead highlighted the company’s steady hiring rate, relatively low turnover and status as the “best place to work in government.” They also described several achievements in regulatory affairs and addressing challenges.
SEC is the top regulator of the crypto sector
The SEC is deeply involved in regulation and enforcement regarding cryptocurrency companies and products. Currently, the agency has high-profile cases against two major crypto exchanges, Binance and Coinbase, as well as other companies.
The agency has also made rulings that were not entirely in its favor. Ripple won a partial victory in July regarding the sale of the XRP token, while Grayscale won the right to have the proposed GBTC conversion reviewed by the agency in August.
Despite setbacks, the SEC has achieved numerous victories and quickly reached settlements with several of the companies it targeted. The agency’s list of crypto-related actions names more than 130 actions involving cryptocurrency, most of which have occurred since 2018.
