- SEC head Gary Gensler says he will resign in January.
- His term of almost four years has been marked by clashes with Wall Street and crypto.
Gary Gensler, the chair of the Securities and Exchange Commission, will resign on January 20, the day Donald Trump will be sworn in as the 47th president of the United States, the regulator said in a post on social media Thursday.
Gensler, a former Goldman Sachs executive and head of the Commodity Futures Trading Commission under President Barack Obama, took charge of the SEC in April 2021. His term was set to end in 2026.
His controversial tenure of almost four years was marked in part by his clashes with the crypto industry.
Over half of the crypto-related enforcement actions the SEC has taken since 2015 have come under Gensler’s leadership, according to an analysis by crypto venture capital firm Paradigm.
“During Chair Gensler’s tenure, the agency brought actions against crypto intermediaries for fraud, wash trading, registration violations, and other misconduct,” a press release announcing his resignation plans said.
In the last fiscal year, “18 percent of the SEC’s tips, complaints, and referrals were crypto-related, despite the crypto markets comprising less than 1 percent of the U.S. capital markets,” the release said.
“Court after court agreed with the Commission’s actions to protect investors and rejected all arguments that the SEC cannot enforce the law when securities are being offered — whatever their form.”
Trump’s victory in the November 5 election virtually assured that Gensler’s days at the agency were numbered.
Traditionally, SEC chairs resign after the election of a new administration. And while on the campaign trail, Trump had promised to fire the former Goldman exec, though he is legally barred from doing so.
Gensler had signalled his departure last week during a speech before a legal education institute.
Crypto investors and executives, as well as Republican lawmakers allied with the industry, celebrated the news of his scheduled resignation on social media Thursday.
Rumored replacements include several industry allies, including Robinhood chief legal officer Dan Gallagher.
“The SEC is a remarkable agency. The staff & the Commission are deeply mission-driven, focused on protecting investors, facilitating capital formation, & ensuring that the markets work for investors & issuers alike,” Gensler wrote in a thread on X announcing his departure.
“It has been an honor of a lifetime to serve w/ them on behalf of everyday Americans & ensure that our capital mkts remain the best in the world.”
Aleks Gilbert is a DeFi correspondent based in New York. Have a tip? Contact him at aleks@dlnews.com.
