SEC pushed DeFi execs to ‘never work in crypto again,’ says crypto VC

Founders Fund partner Joey Krug claims the Biden-era SEC told crypto founders that settled with it that they could no longer work in the industry.

The US Securities and Exchange Commission, under former chair Gary Gensler, used settlements to pressure founders of decentralized finance platforms from ever working in the industry again, according to venture capital firm Founders Fund partner Joey Krug.

“The thing people don’t really know about is that the government, in many cases, went to founders of DeFi protocols [...] and basically told the founders you effectively have to do a settlement with us,” Krug said on stage at the ETHDenver conference on Feb. 27.

“In many cases, they said you also have to sign a thing that says you will never work in crypto again,” he added. “By the way, this agreement, you can’t really talk about it publicly because there’s a non-disparagement clause.”

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