Donald Trump

Jerome Powell

As Donald Trump selected Paul Atkins to be the next Chairman of the US SEC and the crypto market started reacting to it, stalwarts like <a href="https://yellow.com/news/brad-garlinghouse-to-stepdown-as-ripple-ceo-to-be-trumps-crypto-czar">Ripple CEO Brad Garlinghouse </a>and US Senator Cynthia Lummis have <a href="https://coingape.com/ripple-ceo-brad-garlinghouse-commends-paul-atkins-nomination/">lauded</a> Atkins’ nomination. 
The Ripple CEO is optimistic that the new SEC chair will herald a new era for the crypto industry. Garlinghouse hailed Atkins as an “outstanding choice” who can instill common sense in the SEC and crypto regulations. 
The Ripple CEO highlighted how Paul Atkins' experience and reputation for driving “common sense” in crypto regulatory measures would be beneficial for the industry. 
“Paul Atkins at the helm of the SEC will bring common sense back to the agency. Along with Hester Peirce and Mark Uyeda, it’s time to swiftly and definitively end the prohibition era on crypto, restoring freedom of choice, economic growth, and innovation.” 
These comments by the Ripple CEO show the crypto market's hope for clearer and more consistent regulations under the new SEC chief. 
<h2 id="cynthia-lummis-weighs-in-pro-crypto-sec-chair">Cynthia Lummis Weighs-In Pro-Crypto SEC Chair</h2> 
The Ripple CEO is not the only one who is upbeat about Paul Atkins’ appointment as SEC chair, others like US Senator Cynthia Lummis echoed the same sentiments when she said it's a “huge win for financial innovation.” 
Known for her extensive work on crypto legislation Lummis stressed the importance of pro-crypto person in the SEC Chair which would greatly help fulfil Trump's US election pledge. 
Lummis further revealed that she is eager to collaborate with the new SEC chair to foster innovation in the crypto industry. 
The US Senator is well-known for being critical of the SEC's way of handling digital assets, especially under Gary Gensler and worked to enhance the clarity of the crypto regulatory framework. 
Earlier Lummis advocated that the state should invest in crypto when she had said that buying Bitcoin will lower the US national debt in the upcoming 2 decades. 
According to the US Senator gathering 200,000 BTC and then gradually expanding to 1 million coins as its price soar will greatly offset the reduced purchasing power of the US dollar. 
Paul Atkins who worked as the Commissioner of the SEC for 6 years between 2002 and 2008 is well-known for his work in regulatory issues. The Ripple CEO pointed to this when he said that Atkins can reshape how the SEC regulates cryptocurrency. 
The new SEC chair also worked in advisory roles for projects like Reserve Rights (RSR) which makes him ideal for regulatory work as he is familiar with digital assets and blockchain technology. 
<h2 id="atkins-appointment-to-charge-up-the-community">Atkins’ Appointment To Charge Up the Community</h2> 
Meanwhile, other crypto analysts like Stephen Innes from the SPI Asset Management lauded the Atkins’ appointment saying, it would electrify the crypto community and fuel investor optimism about “a potentially more accommodating regulatory landscape”. 
The crypto market is already upbeat about this news as seen in Bitcoin rallying to $100,000. However, some analysts like the chief strategist of Mizuho Securities, Shoki Omori have cautioned that this “doesn't mean BTC will rally forever ” as holders try to make profits. 
"Individual investors must be excited to see the BTC price top $100,000 following the news of Paul Atkins being nominated as SEC chair. Markets knew Gensler would be stepping down and there would be someone who is less aggressive on crypto regulations”, said Omori. 
The Chief Legal Officer of Coinbase, Paul Grewal, welcomed Atkins’ appointment saying ““It’s sorely needed and cannot come a day too soon.” 
“We appreciate his commitment to balance in regulating U.S. securities markets and look forward to his fresh leadership at (the SEC),” Grewal wrote in a post on social media platform X. 
<h2 id="skeptics-point-to-fraud-risks">Skeptics Point To Fraud Risks</h2> 
However, <a href="https://www.onesafe.io/blog/bitcoin-100k-sec-leadership-crypto-regulations">others</a> like the Congressman Brad Sherman and Federal Reserve Chairman Jerome Powell isn’t optimistic about a pro-crypto SEC Chair. While Sherman is concerned that cryptocurrencies won’t be regulated enough under Paul Atkins, risking frauds; industry players and US Representative Patrick McHenry thinks Atkins will restore the community faith in the SEC as he makes way for clearer regulatory framework. 
Powell on the other hand has compared Bitcoin to Gold, highlighting it is not a competitor to the US dollar. This indicates that the BTC price movements will be like digital gold and undermine its currency potential. Powell’s statement has made it a speculative asset with more digital appeal than currency. 
The cautious approach of the Bitcoin whales somewhat vindicates Powell’s statement and point towards investors getting affected by his words. One example of this is how Bitcoin flow hike to exchanges after Trump’s win didn’t translate to immediate sell-offs, rather crypto whales took a “wait-and-see” approach. This shows investors prefer to hold instead of selling which could potentially slowdown the development of crypto tools.

What Paul Atkins's Potential SEC Role Means for Crypto: Experts Weigh In

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