The Securities and Exchange Commission (SEC) has announced that it is increasing the size of its newly renamed Crypto Assets and Cyber Unit (formerly known as the Cyber Unit) by adding 20 positions. The unit, within the Division of Enforcement, will expand to 50 positions. The additional positions will include supervisors, investigative staff attorneys, trial counsels and fraud analysts. They will work in the agency’s headquarters in Washington, D.C., as well as in several regional offices. 

SEC Chair Gary Gensler said that, “as more investors access the crypto markets, it is increasingly important to dedicate more resources to protecting them." He added, "The Division of Enforcement’s Crypto Assets and Cyber Unit has successfully brought dozens of cases against those seeking to take advantage of investors in crypto markets. By nearly doubling the size of this key unit, the SEC will be better equipped to police wrongdoing in the crypto markets while continuing to identify disclosure and controls issues with respect to cybersecurity.”

The unit was created in 2017, and it has brought more than 80 enforcement actions related to fraudulent and unregistered crypto asset offerings and platforms, resulting in monetary relief totaling more than $2 billion. The SEC said that the expanded Crypto Assets and Cyber Unit will leverage the agency’s expertise and focus on investigating securities law violations related to crypto asset offerings; crypto asset exchanges; crypto asset lending and staking products; decentralized finance (DeFi) platforms; non-fungible tokens (NFTs); and stablecoins.

The SEC also reported that the unit has brought numerous actions against SEC registrants and public companies for failing to maintain adequate cybersecurity controls and for failing to appropriately disclose cyber-related risks and incidents. 

"Crypto markets have exploded in recent years, with retail investors bearing the brunt of abuses in this space. Meanwhile, cyber-related threats continue to pose existential risks to our financial markets and participants," said Gurbir S. Grewal, Director of the SEC’s Division of Enforcement. "The bolstered Crypto Assets and Cyber Unit will be at the forefront of protecting investors and ensuring fair and orderly markets in the face of these critical challenges."

According to Fortune, the announcement came roughly eight months after Gensler told members of Congress that the SEC needed more staff to deal with the increasingly complex financial technology field. He has previously referred to crypto as “the Wild West," adding "if we don't address these issues, I worry a lot of people will be hurt."

Fortune reported that some observers viewed Gensler as more friendly to crypto technology during his nomination proceeding. It noted that crypto trading is still very active, but that market volatility has become more of a factor since his nomination was approved last year. Back then, Bitcoin was valued at nearly $60,000, and it is now valued at just over $38,000.