BlockBeats Note: At 2:27 pm on November 6th in the UTC+8 time zone, with Trump taking the lead with 270 electoral votes, the 2024 US presidential election has come to a close, with Trump being elected as the 47th President of the United States. Additionally, the Republican Party has taken control of the US Senate.
Editor's Note: The US presidential election is in full swing (latest news: the vote count data for the 7 swing states in the US election will be announced by around 12 pm on November 6th), and the position of the US SEC Chairman has once again become the focus of attention for the cryptocurrency industry.
Based on the political situation in the US and the popular candidates in the past, Cointelegraph has shortlisted 8 potential candidates who may become the "next SEC Chairman" to replace the current SEC Chairman Gary Gensler. Odaily Planet Daily will summarize and translate the content, with some parts edited, for readers' reference.
8 Potential Candidates Vying for the Next SEC Chairman Position
Currently, the identity of the next SEC Chairman remains undecided, with 8 individuals potentially taking on this critical position. On April 17, 2021, the current US President Biden appointed Gary Gensler as the Chairman of the Securities and Exchange Commission (SEC). According to the norm of the term of office, his tenure will last until January 5, 2026. However, due to Gensler's direct intervention in the US cryptocurrency industry and his high-pressure measures without clear regulatory guidance, he is at risk of losing his position.
Former US President and Republican presidential candidate Trump had previously stated at the 2024 Nashville Bitcoin Conference that if elected, he would fire Gary Gensler on "his first day in office".
Of course, the US President has the power to dismiss Gensler, but this is not an easy task. If Trump wants to do so, he must provide a legitimate reason for the dismissal, such as Gensler's dereliction of duty, inefficiency, or other forms of misconduct. Determining the specific reasons, conducting legal reviews, and managing the administrative transition may take more than a year.
If Trump is elected as the 2024 US President, he may have to work with Gensler for a period before the new SEC Chairman takes office. Of course, in such a scenario, Gensler's resignation would not be unexpected, but this entirely depends on Gensler himself.
On the Democratic side, Vice President and presidential candidate Kamala Harris has not yet officially stated her position on the SEC Chairman position, but there are indications that this position may change to allow for a shift in the regulatory direction. Billionaire Mark Cuban claimed to have had close contact with Harris' team, and he told the media that Harris tends to favor "clear regulatory rules" and opposes "regulation through litigation". He believes that if Harris is elected, she may dismiss Gensler. He bluntly stated: "I suspect, given his low public approval, that he would voluntarily resign."
As of now, Gensler's potential successors remain uncertain. Republicans generally favor a more innovation-friendly and less restrictive regulatory approach, while Democrats generally favor stricter regulation and investor protection. The appointment of the next SEC Chairman may set the tone for future cryptocurrency regulation, and the industry is highly focused on the "first three moves of the next SEC Chairman" on this issue.
So, the focus of the discussion becomes - who will succeed Gensler, and what attitude will they take towards the cryptocurrency industry?
1. Hester Peirce - The "Crypto Mom" Anticipated by the Industry; Probability: Low
SEC Commissioner Hester Peirce is considered one of the potential strong contenders to succeed Gensler. Given her potential to implement a comprehensive crypto-friendly regulatory policy as SEC Chairman, and Trump's clear support for cryptocurrencies, these factors make her one of the most ideal candidates.
Peirce has researched financial market regulation at George Mason University and served as an advisor to government departments such as the Senate Banking, Housing, and Urban Affairs Committee. She was also an attorney in the SEC's Investment Management Division and a partner at the law firm WilmerHale. In 2018, former President Obama nominated her to the SEC, and she officially joined the SEC.
She is likely the most welcomed regulator by cryptocurrency supporters, with many referring to her as the "Crypto Mom".
Previously, she has repeatedly criticized Gensler's aggressive approach towards the cryptocurrency industry: the most recent instance was on September 16th this year, when she and Commissioner Mark Uyeda wrote in a dissenting opinion on a cryptocurrency case that "it is a serious mistake, and one that continues, to mire the crypto issues in endless obfuscation and over-reach".
Her public support for the crypto industry and criticism of the SEC's regulatory methods have led many members of the cryptocurrency community to hope that Trump's election would lead to her appointment as Gensler's successor.
However, she is unlikely to become the SEC Chairman, as she has previously stated to industry media that she does not plan to remain at the SEC after her term ends in 2025.
2. Chris Giancarlo: The "Crypto Dad" of Bitcoin Futures; Probability: High
As a lawyer and former Chairman of the US Commodity Futures Trading Commission (CFTC), J. Christopher Giancarlo has been nicknamed the "Crypto Dad" due to his popularity in the cryptocurrency industry. Later, he embraced this nickname in his book "Crypto Dad: The Fight for the Future of Money". According to a previous Politico report, many in the US industry lobbying circles believe Giancarlo is a strong contender for the SEC Chairman position.
During his tenure as CFTC Chairman under the Trump administration, he approved the trading of Bitcoin futures contracts, which was a necessary step before the approval of a Bitcoin spot ETF.
Currently, Giancarlo is a senior advisor and co-head of the digital assets practice at the law firm Willkie Farr and Gallagher, and holds other positions in various organizations. At the same time, he is the founder and director of the "Digital Dollar Project", which aims to explore methods for the "tokenization of the US dollar".
Additionally, his background in finance and digital assets includes serving as a board member and advisor for US financial exchanges, the Digital Chamber, and Nomura Holdings.
3. Chris Brummer: The Moderate Choice of the Democratic Party; Probability: High
If Harris becomes the next US President, Chris Brummer may become an important part of her administration.
Brummer has multiple connections to the Democratic Party - Obama nominated him to lead the CFTC in 2016, but Trump later withdrew the nomination; during the Biden administration, he was a volunteer on the financial regulatory transition team. The law firm Anderson P.C. believes that if he is appointed as SEC Chairman, it may signal that the US government will take a more moderate regulatory approach towards cryptocurrencies, focusing on developing clear guidelines rather than stifling innovation.
Brummer has some experience in cryptocurrency regulation. In May 2022, he founded a company called Bluprynt, which focuses on regulatory compliance for cryptocurrency companies, particularly ensuring that cryptocurrency project whitepapers comply with EU cryptocurrency regulations.
A source familiar with Brummer believes he is "more qualified to be SEC Chairman than Gary Gensler", and stated that this may be "the most peaceful resolution on cryptocurrencies that the Harris campaign team can propose".
4. Paul Atkins: An SEC Commissioner with Connections to Bush and Trump; Probability: Low
According to a CNBC report, Paul Atkins, a former SEC Commissioner during the George W. Bush administration, has become one of the potential candidates for SEC Chairman in Trump's team.
As an SEC commissioner during the Bush administration, he was known for opposing "high fines for companies that violate securities laws"; previously, he had opposed the Dodd-Frank Act, which strengthened federal regulatory powers in the wake of the 2008 financial crisis.
Atkins played a key role in the political transition team after Trump's election as president in 2016, playing an important role in influencing Trump's laissez-faire attitude towards financial regulation.
Currently, Atkins still holds a position at Patomak Global Partners, the consulting firm he founded in 2009. At the same time, since 2017, he has also served as co-chair of the Token Alliance, an industry association that advocates for the digital asset and blockchain industry.
5.Erica Williams: A neutral candidate from the Harris faction; Possibility: Medium
In her collaboration with the SEC, Erica Williams, the chair of the Public Company Accounting Oversight Board (PCAOB), has extensive experience.
She has held several important positions in government agencies, including deputy chief of staff to three SEC chairs, special assistant and advisor on financial and economic policy in the Obama administration, and litigation partner at Kirkland and Ellis before joining the PACOB board.
During her tenure leading the PCAOB, the board imposed a record $25 million fine on PricewaterhouseCoopers Netherlands for cheating in an internal training program, and a $900,000 fine on Deloitte Colombia for quality management violations, with the department's total fines exceeding $20 million in 2023.
Although Erica herself has not made any obvious statements about the cryptocurrency industry, during her tenure, the PCAOB has established a team focused on investigating emerging audit risks, including those related to cryptocurrencies. Previously, Erica was criticized for overlooking the flaws of FTX before its collapse in late 2022. Regarding this, she clarified in a November 2022 meeting that "the PCAOB's jurisdiction is limited to the audit management of publicly traded companies and broker-dealers."
An internal source revealed that Erica has a strong interest in promoting financial regulatory progress, which may mean that she could support cryptocurrency legislation while actively pursuing illegal activities in the cryptocurrency field.
6.Heath Tarbert: An active CFTC chair; Possibility: Low
According to a previous CNBC report, Heath Tarbert's experience as CFTC chair from 2019 to January 2021 makes him a potential candidate for the next SEC chair. Under his leadership, the CFTC set multiple industry records, including the highest number of cases handled in a single fiscal year.
Tarbert has worked in various federal government departments, including the White House, Department of Justice, and Department of the Treasury, with extensive political experience. Of course, he was once embroiled in a major controversy - just 27 days after leaving the CFTC, he was hired as chief legal officer by Citadel Securities, sparking criticism of the so-called "revolving door" phenomenon from the public to the private sector.
Currently, Tarbert is the chief legal officer and head of corporate affairs at Circle, the issuer of the stablecoin USDC.
7.Robert Stebbins: An advisor closely associated with Trump's SEC chair; Possibility: Medium
According to Politico, several industry experts are considering the potential candidacy of Robert Stebbins for the SEC chair position.
Stebbins himself worked at Willkie Farr and Gallagher from 1993 to 2017, before joining the SEC as general counsel.
According to the Willkie company website, during his tenure as SEC general counsel, Stebbins played a key role in over 85 rulemaking processes, hundreds of staff appointments, the issuance of interpretive guidance, and the oversight of more than 2,750 enforcement actions. When Trump's law school classmate, SEC chair during his presidency Jay Clayton, took office in 2017, Stebbins assisted him in assembling his team. (Odaily Planet Daily Note: For more information on Clayton, please refer to the previous article "The SEC 'Earns' $4.7 Billion in 2024, the Cryptocurrency Industry Becomes an 'ATM'?")
In addition, Stebbins has collaborated with financial giant Morgan Stanley on several important transactions, including the $27.8 billion "Amgen's acquisition of Horizon Therapeutics" and the "proposed merger of Allergan and Pfizer". He also participated in Fiat Group's bid to acquire a majority stake in Chrysler in the early 2010s.
8.Dan Gallagher: A critic of the Federal Reserve; Possibility: Low
Dan Gallagher, the chief legal officer of financial trading company Robinhood, is exceptionally familiar with the SEC - during the Obama administration, from 2011 to 2015, he served as a Republican commissioner and held various positions within the agency.
In the late 2000s (around 2010), Gallagher played an important role in the SEC's trading and markets division, served on the committee during the Lehman Brothers liquidation process, and began to engage in a series of challenges during the financial crisis.
He is known for his highly controversial dissenting views, criticizing the Federal Reserve and the Dodd-Frank Act. He also advocated for a comprehensive review of stock market trading behavior.
It is worth noting that Gallagher's candidacy may face some potential obstacles. The Democratic Party is usually cautious about appointing industry leaders to regulatory positions, and Robinhood's past controversies, such as the decision to suspend GameStop stock trading during the 2021 "meme stock frenzy", may affect his candidacy eligibility.
It is currently unclear whether Gallagher is willing to leave Robinhood to take on the SEC position. He joined the company's board of directors in October 2019 and became chief legal officer in May 2020; he told the media that he enjoys his current position and is honored to be considered a potential candidate for the next SEC chair.
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