The top Democrat of the House Financial Services Committee has issued a warning after reports that Tesla CEO Elon Musk’s “government efficiency” team will access data and systems in the Securities and Exchange Commission (SEC).
In a March 31 notice, representing Maxine Waters Reiterate She sent a letter to Acting SEC Chairman Mark Uyeda in February to the SEC Chairman in response to the visit to sensitive SEC information from the Musk-led government’s Ministry of Efficiency. Doge is the advisory body of U.S. President Donald Trump, not the official department established by Congress. According to California lawmakers, giving Musk such access would have “terrible consequences” for U.S. investors and raise a conflict of interest.
“(…) Due to this acquisition, the institution faces greater risk of data breaches and market disruptions, both of which could lead to investors including retirees losing hard savings,” Waters said.
“Not only that, Musk has been the subject of repeated enforcement actions that violate securities laws and regulations, and can also benefit his own business and harm competitors by leveraging his access to confidential business information and its impact on institutional operations.”
Waters’ warning follows multiple reports Impressed by Musk’s Governor’s team Contact the SEC and will access the committee’s systems and data. Since joining the Trump administration as a “special government employee”, Musk has been the first to work to fire employees from multiple government agencies, including the United States International Development Agency (USAID) and the oversight agency Consumer Financial Protection Bureau (CFPB). Many of Doge’s actions face federal court lawsuits accusing the organization of its actions as illegal or unconstitutional.
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As one of the major financial regulators in the United States, the SEC oversees and regulates many aspects of the cryptocurrency industry, including the security eligibility of many tokens. Under Uyeda and U.S. President Donald Trump, the committee has dropped several lawsuits alleging violations of securities laws against cryptocurrency companies since January.
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It is unclear whether the Toger team intends to “clear” employees’ SEC, Musk’s SEC believes it is unfaithful to the Trump administration, as implied in some lawsuits involving shootings by other government agencies. Cointelegraph contacted Acting Chairman Uyeda and SEC Commissioner Caroline Crenshaw, but received no response at the time of publication.
Doge reported the SEC penetration because the U.S. Senate Banking Committee is expected to vote whether to nominate Paul Atkins, whose draft pick is the agency’s chairman. At the confirmation hearing on March 27, Atkins said he would certainly work with Doge if confirmed. Democratic lawmakers at hearing Questioning Atkins’ potential conflict of interest and the crypto industry.
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