Former United States Securities and Exchange Commission (SEC) Commissioner Paul Atkins has emerged as the leading candidate to chair the agency under President-elect Donald Trump’s new administration.

Atkins is known for his pro-innovation stance and crypto expertise and is said to be capable of “returning the agency to the so-called ‘gold standard,’” according to an X post by financial reporter Eleanor Terrett.

Paul Atkins emerges as leading candidate for SEC chair image 0

Source: Eleanor Terrett

Atkins’ potential appointment comes amid speculation that Trump’s administration may shift cryptocurrency regulatory oversight from the SEC to the Commodity Futures Trading Commission (CFTC), signaling a major policy change that could significantly impact the crypto industry.

Atkins becoming SEC chair after Gary Gensler resigns in January 2025 would have implications that US crypto regulations might help promote innovation, rather than hinder it.

Related: Potential SEC chair pledges crypto-forward approach after Gensler resignation

Atkins to replace Gensler?

Atkins, who previously served as an SEC commissioner under two chairs, Richard Breeden and Arthur Levitt, is recognized for his balanced regulatory approach and deep understanding of securities law.

His leadership is anticipated to provide a more innovation-friendly environment for US crypto regulations, potentially reversing what critics have called overreach by the current SEC leadership.

Trump is also reportedly considering a new White House post dedicated to crypto policy .

Related: SEC nets record $8.2B in fines, Australia considers crypto tax framework: Law Decoded

Trump administration eyes CFTC for crypto 

Trump is reportedly considering transferring oversight of cryptocurrencies and crypto exchanges from the SEC to the CFTC.

This move would shift responsibility for regulating digital assets classified as commodities, such as Bitcoin, to an agency widely regarded as more supportive of innovation.

Under the leadership of former CFTC Chair Chris Giancarlo, who served during Trump’s first administration, the agency has built a reputation as a proponent of innovation as early as 2017 when it approved Bitcoin ( BTC ) options.

Related: Coin Center warns US policies could scare away crypto investors despite Trump win

Gensler leaves his SEC legacy

Gensler’s tenure as SEC chair has been marked by an aggressive “regulation by enforcement” approach , critiqued by the crypto industry for stifling growth and innovation.

Set to depart office on Jan. 20, 2025, Gensler’s exit seems to herald a significant step away from his policies, characterized by frequent lawsuits and limited actionable guidance for crypto companies.

On the heels of Trump vowing to fire Gensler and replace him with a crypto-friendly SEC head, 18 US states have filed to sue the regulator and its commissioners for “unfair persecution” of the crypto industry.

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