Donald Trump’s victory in the US presidential election last November brought considerable optimism to cryptocurrency investors and even sparked a rise in the price of bitcoin. However, for outings SEC Chairman Gary Genslerthe commission must step up its regulation of crypto assets, particularly with regard to altcoins and market intermediaries, as he said in an interview with Bloomberg.
The president-elect appointed Paul Atkins be the new President of the SEC starting January 20, 2025. During the announcement, Trump described his choice as “a proven leader in favor of common-sense regulations” and someone who “believes in the promise of strong, innovative capital markets that meet meet the needs of investors and provide capital. make our economy the best in the world.
These statements fueled speculation that the Trump administration would take a more lenient stance on market regulation.
With less than two weeks left in his term, Gensler emphasized the need for continued regulation, particularly when it comes to crypto assets. The outgoing president, known for the number of sanctions imposed during his term, said that individual investors are still not receiving adequate disclosures or information from digital asset companies.
Gensler emphasized that his predecessor, Jay Claytonwho led the agency during the first Trump administration, brought approximately 80 cases linked to cryptocurrenciesunder the direction of Gensler, around 100 cases have been filed.
While the SEC under Clayton focused on actions against companies issuing tokens that the agency considered securities, Gensler often targeted market intermediaries who violated securities laws related to registration and disclosure, as noted Advisor Center.
The SEC scored several court victories – as well as defeats – in its position that companies were circumventing registration and disclosure requirements under Gensler’s leadership.
“I’ve never seen a sector so tied to sentiment and so detached from fundamentals,” Gensler said, adding that he believed many cryptocurrency projects would not survive.
Gensler announced in November his intention to step down as SEC chairman on January 20, when Trump takes office. In early December, the president-elect nominated Atkins to replace him.
The candidate expressed support for digital assets, reinforcing bitcoin’s rise following Trump’s announcement. Barely an hour after the news, the cryptocurrency had risen by 1.25%exceeding the $97,000 threshold.
