- D. Trump officially appoints pro-crypto Paul Atkins to replace Gary Gensler
- Predictions came true
- The plan to choose an SEC chair favorable to the crypto industry
D. Trump officially appoints pro-crypto Paul Atkins to replace Gary Gensler
Just a few days ago, many talked about the possible nomination for SEC chair, naming Paul Atkins the most likely candidate. There were various reports on the potential candidates and that G. Gensler might need to resign before his term ends.
The president-elect announced he would nominate cryptocurrency advocate Paul Atkins to the SEC chair. He said that Atkins, CEO of Patomak Global Partners and a former SEC commissioner, was a "proven leader for common-sense regulations."
"He believes in the promise of robust, innovative capital markets that are responsive to the needs of Investors, & that provide capital to make our Economy the best in the World. He also recognizes that digital assets & other innovations are crucial to Making America Greater than Ever Before," Trump wrote on his own social media Truth Social.
Reports state that Trump's team nominated Paul Atkins for this position after an interview that took two days[1]. P. Atkins is called a highly qualified candidate for the position because of the comprehension of the SEC itself.
Predictions came true
Media reports were different regarding the particular pick of SEC chair. However, a former member of the United States Securities and Exchange Commission, Paul Atkins, was named frequently and confidently.
On December 3, Kalshi, a prediction platform, reported that the odds of Trump choosing Atkins for SEC Chair had surged to 93%. This suggested Trump could nominate him after his inauguration in January. The cryptocurrency community and other experts expected that[2].
Though the odds later dropped to below 90%, Kalshi still saw Atkins as the leading candidate compared to others, including former acting Comptroller of the Currency Brian Brooks and former SEC attorney Teresa Goody Guillen.
On November 27, Politico reported that Trump’s team had invited Atkins to meet with the president-elect. After that, sources suggested Trump had either chosen him for the SEC chair or that he was hesitant to accept.
Despite Kalshi's strong predictions, it was still possible Trump could pick someone else, like Brooks or Guillen. In fact, during his search for a US Attorney General, Trump surprised many by picking Rep. Matt Gaetz, who later withdrew.
Trump's campaign promises include replacing current SEC Chair Gary Gensler with someone more crypto-friendly. Gensler announced in November that he would step down on January 20, the day of Trump’s inauguration.
The plan to choose an SEC chair favorable to the crypto industry
The SEC Chair holds considerable power over digital asset policy, including decisions on whether to bring enforcement actions against companies offering unregistered securities. Many in the crypto world call for more precise guidelines, fearing that inconsistent regulations could push businesses out of the US.
The crypto industry in the U.S. has recently faced significant challenges from government agencies. The new year will begin a new economic calendar under Trump, and the crypto industry will be one of the most impacted. The SEC is expected to endure a significant transformation since the new administration is expected to be more pro-crypto.
The position has not been accepted yet, and it might not be attractive due to the agency's mismanagement under the current leadership. Also, the crypto entity might have very high expectations of Atkins once he replaces Gensler[3].
Atkins can also be hesitant to step down from his CEO position in the corporation he established. Patomak is a consulting firm specializing in regulatory compliance and risk management for insurance companies, banks, and crypto industries.
If accepted, Atkins is expected to review many of Gensler's rules and enforcement actions currently in the courts, take a more lenient approach to crypto, and work on changing regulations to help boost capital growth. "His impressive experience, years in the industry, and background with the SEC make him an outstanding nominee," said Eric Pan, CEO of the Investment Company Institute[4].
The Trump administration believes Atkins is the right person for the role. Atkins has strongly advocated crypto, having testified to Congress about its benefits. His appointment could shift the agency’s stance on crypto. Moreover, with Paul Atkins in place, the U.S. may be one step closer to creating its own Bitcoin reserve.
The anticipation around Trump’s return to the White House has already impacted the market, pushing Bitcoin to an all-time high of $100,000. XRP has also surged from under $1 to a record $2.82.
