U.S. Securities and Exchange Commission (SEC) Chair Gary Gensler is set to leave his position after years of leading efforts to regulate the crypto industry. Gensler plans to step down on January 20, 2025, according to a statement released by the agency on Thursday. He expressed that it was an “honor of a lifetime” to work with his fellow SEC staff.
“I thank President Biden for entrusting me with this incredible responsibility. The SEC has met our mission and enforced the law without fear or favor. I’ve greatly enjoyed working with my fellow Commissioners, Allison Herren Lee, Elad Roisman, Hester Peirce, Caroline Crenshaw, Mark Uyeda, and Jaime Lizárraga,” Gensler said in the statement. “I also thank Congress, my colleagues across the U.S. government, and fellow regulators around the world.”
Since starting at the SEC in April 2021, Gensler has led efforts to push for central clearing in Treasury markets, implemented changes on executive pay versus performance, and continued working to protect investors in crypto markets.
Gensler became a controversial figure in the crypto industry following enforcement actions against major players like Coinbase, Binance, and Kraken.
“In the last full fiscal year, according to the SEC’s Office of the Inspector General, 18 percent of the SEC’s tips, complaints, and referrals were crypto-related, despite the crypto markets comprising less than 1 percent of the U.S. capital markets,” the SEC said on Thursday. “Court after court agreed with the Commission’s actions to protect investors and rejected all arguments that the SEC cannot enforce the law when securities are being offered—whatever their form.”
Gensler has consistently argued that most cryptocurrencies qualify as securities and urged crypto firms to register with the SEC. However, some in the crypto industry have pushed back, claiming that it’s impossible to register with the agency due to rules designed for more traditional entities.
Gensler’s announcement to depart comes after President-elect Donald Trump pledged to fire him if elected. Trump’s term as president begins on January 20.
