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Uncertainty Looms For Crypto As SEC And CFTC Leadership Transitions Unfold Under Trump

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As Donald Trump prepares to take office for another term, speculation is growing regarding the future of cryptocurrency regulation, particularly regarding… command From the US Securities and Exchange Commission (SEC).

Recent social media posts by FOX journalist Eleanor Terrett suggest that SEC Chairman Gary Gensler may be on the verge of resigning, possibly before Trump’s inauguration in January 2025.

Pro-crypto candidates are vying to succeed Gensler

According to According to sources close to the situation, Teret says Gensler’s resignation, which will leave his term, set to end in 2026, incomplete, is expected to be announced after Thanksgiving.

However, while Gensler has faced heavy criticism during his tenure for his strict regulatory approach to the cryptocurrency industry, the identity of his successor remains uncertain.

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Former Commodity Futures Trading Commission (CFTC) Chairman Christopher Giancarlo has denied rumors regarding his nomination, while several other candidates are being considered.

Names in the mix include Dan Gallagher, chief legal officer at cryptocurrency exchange Robinhood; Bob Stebbins, partner at Willkie Farr; former SEC Commissioner Paul Atkins; and Paul Hastings’ attorney, Brad Bondy.

Terrett suggests that Gallagher, while initially hesitant to leave Robinhood, may reconsider as the dynamics of management appointments change.

Stebbins, who has close ties to Jay Clayton, the former head of the Securities and Exchange Commission, is rumored to be the preferred candidate, despite his lack of a background in cryptocurrencies. However, sources indicate that he will follow in the footsteps of the Trump administration Digital assets.

Both Atkins and Bondi are known for their pro-crypto stance, calling for a “lighter regulatory touch.” Atkins serves on the Board of Directors of the Chamber of Digital Commerce and co-chairs the Token Alliance, focusing on token issuance growth. Bondi was involved in providing advice Decentralized finance (DeFi), signaling a commitment to fostering innovation in the cryptocurrency space.

Trump plans to devote resources to the CFTC

Other names circulating in cryptocurrency circles include former CFTC Chairman Heath Tarbert, former Comptroller of the Currency Brian Brooks, and former SEC Director of Investment Management Norm Champ. Champ recently expressed his willingness to serve if asked, indicating his interest in a potential role in the future administration.

Additionally, pro-crypto SEC Commissioner Mark Ueda is said to be open to taking the helm, possibly as acting chairman, while fellow commissioner Hester Peirce, dubbed the agency’s “mother of cryptocurrencies,” has privately indicated no Her interest in this role.

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With these leadership changes on the horizon, Teret expected The new SEC chief will be a supporter of cryptocurrencies, while also equipped to handle the agency’s broader responsibilities, which include oversight of public companies, the stock market, the bond market, private funds, and the Consolidated Audit Trail (CAT). .

Further exacerbating the speculation is the expectation that the Trump administration may also increase the role of the Commodity Futures Trading Commission (CFTC) in cryptocurrencies. Systems. Teret confirms that the administration is considering allocating more resources to the CFTC, although the details of how that will be implemented remain unclear and will likely require additional funding.

The daily chart shows the total cryptocurrency market cap at $2.9 trillion. source: Total on TradingView.com

Featured image of DALL-E, chart from TradingView.com

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