The US Securities and Exchange Commission (SEC) is about to get a new boss after Gary Gensler announced his resignation. This has everyone talking about potential successors, including Teresa Goody Guillén and Brian Brooks, both of whom are pro-crypto. Either one would be a big change for the SEC on crypto.
Gary Gensler’s Tenure and Resignation
Appointed by Joe Biden in 2021, Gary Gensler has been a hard-nosed regulator towards the crypto space. Under his watch the SEC has brought enforcement actions against major crypto exchanges including Binance and Coinbase for fraud and unregistered securities offerings. Gensler’s approach has been a point of contention in the industry and there have been calls for a more balanced approach.
In November 2024 Gensler announced he would be stepping down on January 20, 2025, the day of President-elect Donald Trump’s inauguration. This opens the door for new leadership that may have a different view on crypto regulation.
Potential Successors: Teresa Goody Guillén and Brian Brooks
The vacancy has brought attention to several candidates and Teresa Goody Guillén and Brian Brooks are front and center.
Teresa Goody Guillén
Teresa Goody Guillén is a partner at law firm BakerHostetler where she co-leads the blockchain practice. She was an attorney at the SEC and has deep knowledge of the agency. Guillén has been a proponent of clear and fair regulatory frameworks that support innovation in the crypto space. Industry stakeholders see her as a good choice for a more collaborative regulatory approach.
Brian Brooks
Brian Brooks, former Acting Comptroller of the Currency, has been a long time advocate for digital assets being part of the traditional financial system. He has held leadership roles at major crypto companies including Coinbase and Bitfury Group. Brooks’ view of a regulatory approach that promotes innovation while protecting consumers is in line with the industry’s call for balanced regulation.
Market Implications
A pro-crypto SEC Chair would have big implications for the market. A new leadership could:
- Regulatory Clarity: Clear rules would reduce uncertainty and encourage investment and innovation.
- Market Growth: A pro-regulatory environment would attract new participants and grow the crypto markets.
- Consumer Protection: Balanced regulation would protect consumers without stifling technology.
Bottom Line
As the SEC gets a new boss the appointment of Teresa Goody Guillén or Brian Brooks would be a move towards a more crypto friendly regulatory approach. That would mean a more collaborative relationship between regulators and the crypto industry and innovation for investors.