United States Securities and Exchange Commission (SEC) Chairman Gary Gensler is expected to leave his post before Donald Trump takes office. John Reed Stark, former head of the SEC’s Internet Enforcement Division, evaluated this situation in an AMA session on the social media platform.
Resignation Expectations
Stark noted that SEC chairmen often resign in anticipation of or with the election of a new chair.
“Most of the time, they were resigning because they knew a new president would be appointed.”
It has been suggested that SEC Commissioner Hester Peirce could be the possible new SEC chairman. Peirce is known for his pro-crypto stance and has criticized the regulator’s restrictive approach towards the crypto sector. However, despite Stark, Hester’s name is not mentioned among Trump’s SEC presidential candidates. Many sources write that the head of the Legal unit of Robinhood, which also does crypto business, will be appointed as the Chairman of the SEC.
SEC’s Cryptocurrency Regulations
Under Gary Gensler, the SEC has taken regulatory action against companies such as Coinbase, Uniswap Labs, and Binance. Stark stated that a friendlier regulatory approach for cryptocurrencies can be expected after the election of the Trump administration.
“Does this mean the SEC’s war on crypto is over? I say absolutely yes; “The SEC will not be filing numerous lawsuits against crypto participants in the coming years.”
Stark stated that these elections herald positive changes in the crypto industry.
Gensler’s resignation could signal a significant transformation in the SEC’s cryptocurrency policies. The policies pursued by the newly appointed president will closely affect the developments in the sector.
In light of these developments, the cryptocurrency industry should be prepared to adapt to potential policy changes from the SEC and pay attention to the changing regulatory environment.
The cryptocurrency industry may experience a new era with potential policy changes from the SEC. Investors and companies should follow these developments closely to comply with future regulations. For investors, this change only means more bullishness. However, since companies that do not comply with the clarified rules will no longer have the right to object as “this is unfair”, there will be a great local (specific to the relevant altcoin, project) risk of going to the dusty pages of history.
Disclaimer: The information contained in this article does not constitute investment advice. Investors should be aware that crypto currencies carry high volatility and therefore risk, and should carry out their transactions in line with their own research.
