According to The Block, American investment bank TD Cowen predicted in a report that “the Republican party will likely take control of the majority of the SEC commissioners and the chairmanship next year.” This shift in power is expected to have significant implications for cryptocurrency policy. Currently, SEC Chairman Gary Gensler is a Democrat who has taken a cautious approach to regulating cryptocurrency. However, SEC Chairman nominee Paul Atkins, a Republican, is expected to take a more lenient stance on the industry. With the departure of Gensler and one other Democrat commissioner next year, only Democrat Commissioner Caroline Crenshaw will remain. This lack of power to restrain the Republican commissioners will likely result in accelerated progress on Commissioner Atkins’ cryptocurrency policies. The report from TD Cowen predicts that the Republican-controlled SEC will be more favorable to cryptocurrency innovation and development. This could lead to a more favorable regulatory environment for cryptocurrency businesses and investors.

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