As Bitcoin Magazine reported, Gary Gensler, the Chair of the U.S. Securities and Exchange Commission (SEC), gave a speech on November 14, where he called on crypto exchanges to register and urged securities sellers to properly disclose their positions.
Additionally, Gensler also clarified the SEC's stance on cryptocurrency regulation, clearly distinguishing the difference between Bitcoin and altcoins, affirming that the agency does not consider Bitcoin a security.
The language Gensler used also reflects the possibility of his resignation after Donald Trump's election, along with the public criticism the President-elect directed at his tenure. Gensler concluded his speech with a message that could be interpreted as a farewell:
"The SEC and its staff are an extraordinary agency... It has been an honor to work with them, serving the public interest... I am proud to have worked alongside my SEC colleagues, who day in and day out work to protect American families on their financial journeys."
In one of his final important statements as SEC Chair, Gensler reaffirmed his view on the classification of Bitcoin as not being a security, in contrast to the majority of other digital assets.
"Not all assets are securities. Former Chair Clayton and I have both stated that Bitcoin is not a security, and the Commission has not treated Bitcoin as a security. Instead, we have been focused on the approximately 10,000 other digital assets, many of which the courts have determined are securities."
Gensler's position reflects a stark contrast to the SEC's enforcement actions against other cryptoassets, which have accounted for 5-7% of the agency's focus since 2018.
Gensler's speech emphasized the reasons why the SEC has focused on certain altcoins. He explained that compliance with securities regulations helps create market trust and protect investors.
"History has shown that strong securities regulation creates trust in markets and drives innovation."
However, he also acknowledged that many digital assets (other than Bitcoin) still lack sustainable use cases, with concerns primarily around speculative investing and illicit activities.
A notable point in the speech was Gensler's emphasis on the SEC's approval of Bitcoin futures ETFs, as well as spot Bitcoin and Ethereum ETFs. He said these decisions mark a shift from previous SEC Chairs, who had restricted access to physically-backed crypto ETFs.
According to Gensler, the approval of spot Bitcoin and Ethereum ETFs will bring benefits such as transparent pricing, lower fees, and increased competition, in contrast to "non-compliant crypto asset markets."
Donald Trump's election victory in November has created a new wave of reactions to Gensler's tenure. The President-elect has publicly committed to replacing Gensler, which may explain the reflections in the SEC Chair's tone.
"Effective SEC oversight promotes trust," he stated, as a way to affirm his personal legacy tied to the SEC's greater mission of fostering trust and protecting the financial markets.
The sharp rise in Bitcoin's price (over 30% since the election results) is a clear indication of the market's sensitivity to political and regulatory factors. Analysts suggest this growth is related to optimism about potential deregulation under the Trump administration. On November 13, Bitcoin reached a new high of $93,400, driven by expectations of reduced oversight from the regulator.
Amidst speculation about his potential resignation, Gensler concluded his speech with personal reflections on the importance of securities regulation, likening them to "traffic rules" in the financial markets. Whether his tenure ends early or extends into the new administration, Gensler's approach to cryptocurrency regulation has left a significant mark on the industry.
Fox Business' Eleanor Terrett reported that the SEC Chair is expected to voluntarily resign after Thanksgiving (November 28) and depart the position in early January, before Donald Trump's inauguration.
While Trump's choice for the next SEC Chair has not been officially announced, several potential candidates are being considered. Former SEC Commissioner Dan Gallagher, currently working at Robinhood, had previously been hesitant to take on the role, although sources suggest the situation may have changed.
Bob Stebbins, the former SEC General Counsel under Chair Jay Clayton, appears to be part of the transition team. A source close to Stebbins said that if nominated, he would closely coordinate with the White House's directives under Trump.
Other potential candidates include Brad Bondi, a lawyer at Paul Hastings, and Paul Atkins, a partner at Willkie Farr. Both are known for their views supporting less stringent management of cryptoassets.
Former CFTC Chair Christopher Giancarlo has denied rumors about the possibility of him being nominated for the position.
Join Telegram: https://t.me/tapchibitcoinvn
Twitter (X): https://twitter.com/tapchibtc_io
Tiktok: https://www.tiktok.com/@tapchibitcoin
Annie
Bitcoin Magazine
