Low salary, prohibited from holding crypto assets, SEC hiring of crypto experts blocked

The Office of the Inspector General (OIG) of the United States Securities and Exchange Commission (SEC) jointly submitted a report on the performance and management of the SEC, mentioning the difficulty in recruiting staff due to the restriction on employees holding cryptocurrency assets.

SEC Job Vacancy Rate Increasing Year by Year

The report reviewed the progress and strategic goals of the SEC in 2023, pointing out that both the SEC and other federal agencies face management and performance challenges, particularly in recruiting and retaining employees with advanced skills.

As of September 30 this year, out of the 5,303 authorized positions at the SEC, there were 491 vacancies, resulting in a vacancy rate of 9.3%.

In 2023, the SEC added 379 new positions. The SEC's vacancy rate has steadily increased over the past four years, as shown by the yellow line in the graph below.

SEC Faces Challenges Recruiting Crypto Experts

The report mentioned that officials from multiple departments within the SEC listed several challenges in recruiting crypto experts:

• Low promotion prospects

• A limited number of applicants with expertise in crypto

• Intense competition from the private sector, especially in terms of salary and remote work benefits compared to the SEC

The officials also pointed out:

Many qualified candidates hold crypto assets, but the Office of Ethics Counsel has determined that holding such assets would prohibit them from engaging in crypto-related matters, which hinders recruitment as candidates are often unwilling to sell their crypto assets to work for the SEC.

Furthermore, the report cited a recent Ripple lawsuit, stating that there is no consistent legal precedent in the crypto field, leading to inconsistent judgments even among judges in the same region when faced with similar facts and issues.