Mark Cuban: If it weren't for Gensler leading the SEC, the collapse of FTX could have been avoided

ChainCatcher news, according to Decrypt, billionaire investor Mark Cuban stated in an interview that he had pointed out to U.S. Vice President Kamala Harris's cryptocurrency advisor that the collapse of FTX could have been avoided if Gary Gensler had not been leading the U.S. Securities and Exchange Commission (SEC).

Cuban criticized SEC Chairman Gary Gensler for relying too heavily on litigation enforcement rather than developing targeted regulatory policies for the cryptocurrency industry. He specifically mentioned Japan's regulatory model, believing that its requirement for cryptocurrency companies to provide full collateral for the digital assets held on behalf of customers is worth emulating. Cuban stated, "If Gensler had taken a similar approach to Japan, companies like FTX and Three Arrows Capital would not have collapsed."

Japan has implemented a comprehensive regulatory framework for digital assets since 2017, requiring exchanges to strictly separate customer assets and maintain sufficient reserves. After the Coincheck hack in 2018, Japan further strengthened its regulatory measures, increasing security protocols and capital requirements for cryptocurrency exchanges.