A nominee to replace SEC Chair Gary Gensler could be announced as soon as this Wednesday, according to Fox Business. Former SEC Commissioner Paul Atkins is the leading contender, according to betting market Kalshi. Former Binance US CEO Brian Brooks is also in the running, though his chances appear slim.
Last week, Politico reported that Atkins was the front-runner to take over at the SEC, although no final decision had been made then. The announcement of a new SEC chair could significantly impact the regulatory landscape for U.S. financial markets, including the cryptocurrency sector.
Also Read: Pro-XRP Attorney John Deaton Backs Paul Atkins for SEC Chair Amid Gensler Criticism
Ripple’s Price Rally Tied to Gensler’s Departure
The anticipated leadership change at the SEC comes amid growing speculation that Gensler’s departure could be linked to a rally in cryptocurrency prices. Ripple executives, including Chief Legal Officer Stuart Alderoty, have suggested that Gensler’s aggressive regulatory approach to cryptocurrencies suppressed market prices. The upcoming SEC chair is expected to shift the agency’s stance on cryptocurrency investigations, which could boost prices further.
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The new SEC chair may be more inclined to ease cryptocurrency regulations, which could stop nonfraud cases against cryptocurrency. Such a move may help to take some heat off digital currencies such as XRP, which saw its price soar in the past several weeks. Nevertheless, some consider Ripple’s rise the direct outcome of the market’s expectations of shifts in the SEC policy.
Gary Gensler confirmed on November 21 that he would step down from his role in January 2025. Alongside Gensler, Jaime Lizárraga, an anti-crypto SEC commissioner, will leave the agency. The SEC prohibits having more than three commissioners from the same political party, so the departures will likely lead to a more balanced and potentially more crypto-friendly environment.
As the SEC prepares for leadership changes, the cryptocurrency industry is watching closely, hopeful for a shift in regulatory direction.
Also Read: Ripple vs. SEC: Legal Expert Debunks Court Expedition Rumor
Maxwell Mutuma
Maxwell is a crypto-economic analyst and Blockchain enthusiast, passionate about helping people understand the potential of decentralized technology. He writes extensively on topics such as blockchain, cryptocurrency, tokens, and more for top publications such as Coingape, Coin Edition, and The Coin Republic. His goal is to spread knowledge about this revolutionary technology and its implications for economic freedom and social good.