Trump officially nominated pro-crypto Paul Atkins to succeed Gary Gensler as the next chairman of the U.S. Securities and Exchange Commission (SEC).
Sixty-six-year-old conservative Paul Atkins of Washington currently serves as CEO of Patomak Global Partners and is a well-known figure in finance and Republican politics. He served as an SEC commissioner during the administration of former President George W. Bush and was a policy advisor during Trump’s first term. It is reported that Atkins and others interviewed for the SEC position were asked to provide ideas for restructuring the SEC to align with the new government's commitment to cut spending and control the size of federal agencies.
Trump praised Atkins's open attitude toward cryptocurrencies in the announcement, stating: "Paul is a leader with extensive experience in crafting reasonable, pragmatic regulations. He believes that strong, innovative capital markets can meet investors' needs and provide the capital to make our economy the best in the world. He also recognizes that digital assets and other innovations are crucial to making America stronger than ever."
Atkins has not immediately issued a public response, and his appointment still requires Senate approval.
Response from the cryptocurrency industry
Republican lawmakers and the cryptocurrency industry welcomed the news.
Ripple CEO Brad Garlinghouse stated: "With Paul Atkins at the helm of the SEC, the agency will return to common sense; it is time to swiftly and thoroughly end the era of cryptocurrency bans and restore freedom of choice, economic growth, and innovation."
Pro-crypto Republican Senator Cynthia Lummis commented: "Paul Atkins's nomination as SEC chair is a huge victory for financial innovation. President Trump has promised to have the most pro-digital asset administration in U.S. history, and I look forward to working with both of them to promote innovation and make our economy strong again."
Coinbase Chief Legal Officer Paul Grewal congratulated Atkins in a post on X: "We appreciate his commitment to balancing the regulation of the U.S. securities market and look forward to his new leadership role at the SEC, which is urgently needed and cannot be delayed a moment longer."
Digital Chamber President Cody Carbone stated, "Atkins has a unique advantage in supporting President Trump's vision to solidify the United States as a global leader in digital asset innovation. Paul will not only bring experience and expertise in digital assets to the Commission, but will also bring the clarity that the industry has needed from day one. This is a home-run choice."
If the Senate approves Atkins's nomination, it will mark the beginning of a new era for the SEC, one that will be significantly different from Gensler's tenure. Many believe that Gensler's term was characterized by an aggressive and overly politicized rulemaking agenda that strayed from the Congressional mandate to provide fair and orderly markets and ensure investor protection.
One of Gensler's most controversial directives was to mandate that public companies adopt certain environmental, social, and governance (ESG) criteria, including disclosing their carbon footprints. He is known for his strict enforcement policies—especially against the cryptocurrency industry, with the SEC taking over 100 enforcement actions against the sector.
SEC observers expect that under Atkins' leadership, some of Gensler's agendas will be overturned, including the climate disclosure rules currently under review by federal courts. This ruling has been welcomed by progressive advocacy groups and politicians like cryptocurrency critic and senior Democratic Senator Elizabeth Warren, but has faced widespread criticism from business groups claiming it is costly, difficult to implement, and potentially illegal, as the purpose of securities law is not to force companies to adopt social policies but to protect shareholders.
Previously referred to as the SEC's "most conservative member"
Atkins's career began as an attorney, working in the financial markets for many years while also having experience in government and private enterprise. He served as an SEC commissioner beginning in 2002, during which the fallout from scandals involving companies like Enron and WorldCom put greater pressure on Wall Street and government regulators.
According to the Associated Press, during his tenure, Atkins was widely regarded as the most conservative member of the SEC and was known for his strong free-market inclinations.
During his tenure as a commissioner, he called for increased transparency of new SEC rules and analysis of their costs and benefits.
He also emphasized the need to strengthen investor education and increase efforts to combat the theft of investor funds via the internet, market manipulation, involvement in Ponzi schemes, and other types of fraud.
Meanwhile, Atkins opposed imposing harsh penalties on companies accused of fraud, believing that such penalties do not deter crime.
In 2006, Atkins expressed support for a series of guidelines from the SEC that advised caution in using penalties against public companies. He favored prosecuting individual wrongdoers, arguing that forcing companies to pay fines harms shareholders' interests. This sparked some controversial discussions.
Atkins was also a prominent opponent of the Dodd-Frank regulatory reform act passed after the 2008 financial crisis. He testified multiple times before Congress, stating that the act gave regulators too much power to decide how to limit risky behavior by large banks.
California Democratic Congressman and senior member of the House Financial Services Committee Brad Sherman expressed concern that Atkins would not provide "adequate regulation" on cryptocurrencies during his tenure as SEC Chairman. He said, "He may believe that cryptocurrencies are not securities, and therefore exchanges engaging in crypto trading are not securities exchanges, which provides great opportunities for defrauding investors."
A regulatory spring is coming, and the future of the cryptocurrency industry looks promising.
Atkins's support for cryptocurrencies aligns with Trump's commitments; besides promising to "fire" Gensler on day one and make America the "global cryptocurrency capital," Trump also promised to appoint a chairman who would "build the future rather than hinder it."
Atkins has publicly stated the necessity of establishing best practices for digital assets and their trading platforms. Last year, during a guest appearance on a podcast, he said: "If the SEC could be more lenient and could engage directly with these companies, then things would go much better in the U.S."
A source told FOX Business that Atkins recently expressed a desire to have Republican Commissioner Hester Peirce (known as "crypto mom") lead crypto policy alongside her Republican colleague Mark Uyeda. Peirce hopes to lead an internal crypto working group that will reassess the agency's stance on digital assets and engage in open dialogue with the industry. Peirce's term will end in June, and it is unclear whether she wishes to be renominated for the position. Uyeda's term will end in 2028.
After Trump takes office in January, he will be able to nominate at least three new commissioners, including two Republicans and at least one non-Republican, since SEC regulations limit any one party to three of the five commission seats. This means that, just as he did with the Supreme Court, Trump will be able to handpick SEC commissioners, resulting in a commission that leans towards a pro-business approach and loosening regulations.
Chris Giancarlo, who served as CFTC chairman during Trump's first term, stated: "President Trump made an excellent choice for SEC chair, as Atkins is known for his professional integrity and wisdom. As a former commissioner, he has a deep understanding and respect for the agency. After years of regulatory hostility, he will encourage technological innovation, cryptocurrencies, and digital finance. I believe he will help the SEC reclaim its historic role in promoting capital formation and economic growth in the U.S."
Twitter: https://twitter.com/BitpushNewsCN
BitPush TG Group: https://t.me/BitPushCommunity
BitPush TG Subscription: https://t.me/bitpush
BitPush Btok Subscription: https://btok360.com/bitpush