SEC Chair was grilled on Capitol Hill over questions regarding the Trump Meme Coin and its connection to Justin Sun

BlockBeats News, May 21st, according to Theblock, Securities and Exchange Commission (SEC) Chairman Paul Atkins was questioned by members of Congress during a hearing, involving topics related to meme coins associated with President Trump, and whether his relationship with cryptocurrency entrepreneur Justin Sun could pose issues.

Atkins, who has been in office for less than a month, attended a hearing of the House Appropriations Committee earlier this week, which oversees the funding of federal agencies. Members of Congress questioned him about his stance on cryptocurrency regulation, the SEC's suspension of fraud cases against Justin Sun, and recent digital asset activities related to Trump.

Maryland Democratic Congressman Glenn Ivey mentioned a series of events that took place on the eve of Trump's inauguration in January, including Justin Sun's company Tron purchasing $30 million worth of tokens from World Liberty Financial. The company is a decentralized finance institution that claims to be inspired by President Trump's ideals.

Subsequently, the SEC decided to suspend the fraud case against Justin Sun and his company (including Tron). This case is currently in abeyance. Meanwhile, Trump himself is also involved in meme coins associated with him, and will host a dinner for the top 220 meme coin holders later this week. Justin Sun posted on Platform X earlier on Tuesday, claiming to be one of these "top fans."

In response, Ivey said, "Honestly, this whole thing smells fishy. My hope is that the SEC will investigate this matter." Atkins responded that Justin Sun's case is still an "ongoing case," and noted that the SEC has already stated that meme coins are not considered securities.