In a recent interview with Coinage, U.S. Securities and Exchange Commission (SEC) Commissioner Hester Peirce expressed optimism about potential regulatory changes under incoming SEC Chair Paul Atkins, President Trump’s nominee. Peirce highlighted the possibility of revisiting key crypto-related initiatives, including Ethereum ETF staking and in-kind redemptions for ETFs, which faced resistance under outgoing Chair Gary Gensler.
Transitioning to a Pro-Crypto Leadership
Peirce described the SEC as being in a transitional period and expressed hope that Atkins' pro-crypto stance would create a more favorable regulatory environment. She stated, “If it changes from a majority of Commissioners who don’t want things to go through to a majority who do, then yeah, it’s easier.”
She noted that Atkins, set to replace Gensler on January 20, is expected to prioritize crypto regulations from day one. “The acting Chair can start working on things that are a priority, and one of those issues is going to be crypto,” Peirce explained.
Revisiting Ethereum ETF Staking and In-Kind Redemptions
Peirce emphasized her hopes for enabling Ethereum ETFs to participate in staking and reconsidering in-kind redemption mechanisms for ETFs. She acknowledged that these initiatives would require support from other commissioners who previously opposed such reforms but noted the new leadership may shift the dynamics in favor of approval.
While uncertainty remains, Peirce suggested initial steps toward approval could begin soon, aligning with the broader optimism surrounding Atkins’ leadership. His pro-crypto reputation has sparked anticipation within the industry for a more supportive regulatory framework.
A New Era for Crypto Regulation
President Trump announced Atkins’ nomination on December 4, signaling a potential pivot in U.S. crypto policy. Known for his favorable stance on digital assets, Atkins’ appointment has generated excitement among crypto advocates who view this as an opportunity to foster innovation and adoption in the sector.
With Peirce’s optimistic outlook and the arrival of a pro-crypto Chair, the SEC could take significant strides in advancing cryptocurrency regulation, including Ethereum ETFs and staking.
