United States Securities and Exchange Commission (SEC) Chair Gary Gensler, known for his stringent approach to cryptocurrency regulation, will step down on Jan. 20, 2025, the SEC announced on Nov. 21.
Gensler’s departure will coincide with the inauguration of crypto-friendly President-elect Donald Trump for his second term.
“It has been an honor of a lifetime to serve with them on behalf of everyday Americans and ensure that our capital markets remain the best in the world,” Gensler said in a statement.
In July, Trump vowed to “fire” Gensler as part of his strategy to appeal to crypto advocates ahead of the Nov. 5 presidential election.
While the president has the authority to appoint the SEC chair, he cannot compel a commissioner to leave entirely, as Gensler plans to do.
A tenure marked by crypto crackdowns
Since assuming office in 2021, Gensler led an aggressive regulatory agenda against the crypto industry, initiating over 100 enforcement actions against companies in the space.
On Nov. 14, Gensler reinforced his strict stance, emphasizing the need for around 10,000 tokens he considers securities to “register and give proper disclosure to the public.”
Although he highlighted the SEC’s approval of spot Bitcoin exchange-traded funds (ETFs) as a sign of collaboration with the industry, he criticized some issuers for failing to follow “common-sense rules of the road.”
A new crypto agenda
President-elect Trump has pledged to make America “the crypto capital of the world” and has expressed plans to appoint regulators with a more crypto-friendly outlook.
Reports suggest Trump is considering Summer Mersinger, a Republican CFTC commissioner advocating a lenient approach to crypto, to lead the Commodity Futures Trading Commission (CFTC).
Additionally, Trump is reportedly exploring the creation of a White House position dedicated solely to crypto policy.
This follows the October resignation of Gurbir Grewal, the SEC’s chief enforcer, known for his robust oversight of the cryptocurrency sector.
