Gary Gensler officially steps down, and the SEC welcomes an acting chair who supports cryptocurrencies.

The U.S. Securities and Exchange Commission (SEC) has experienced a major leadership change. After Gary Gensler officially stepped down as SEC Chair on January 20, Commissioner Mark Uyeda temporarily took over as the head of this the most important financial regulatory agency in the United States. This change could signify a fundamental shift in policy direction for the long-affected cryptocurrency industry under Gary Gensler’s strict regulation.

Currently, the SEC is awaiting Senate confirmation of President Trump’s appointment of Paul Atkins as SEC Chair. Meanwhile, Mark Uyeda has already begun to perform the duties of acting Chair. Unlike Gary Gensler’s strong regulatory stance, Uyeda has long been advocating for easing restrictions on the cryptocurrency industry.

From Strict Regulation to Policy Shift: The End of the Gary Gensler Era

During his tenure, Gary Gensler established a tough regulatory framework for cryptocurrencies. He not only promoted multiple enforcement actions but also supported a series of controversial regulatory measures, which have sparked widespread resistance within the crypto industry.

Mark Uyeda and Republican Commissioner Hester Peirce have consistently advocated for loosening SEC oversight of crypto assets. Uyeda often criticizes decisions led by Gary Gensler, especially regarding regulations related to Staff Accounting Bulletin 121 (SAB 121). This policy has made it difficult for banks to serve digital asset clients. Uyeda has repeatedly expressed his stance to abolish this policy, and now this decision falls within his authority.

SAB 121 and Spot ETFs: Controversy Over Gary Gensler’s Policy Legacy

Under Gary Gensler’s leadership, the SEC’s approval attitude toward cryptocurrency spot ETFs was initially very conservative. Despite multiple applications from various firms, Gensler long blocked the listing of such products. It was only after courts issued rulings unfavorable to the SEC that Gensler was forced to change his position, voting to support the proposals from SEC Republican commissioners, paving the way for the launch of spot ETFs.

These policy shifts reflect Gensler’s differing understanding of the existing legal framework compared to many federal judges. Gensler has repeatedly argued that current laws are sufficient to classify and regulate crypto assets, but court rulings have shown that this stance has not gained judicial support.

Boundaries of the Acting Chair’s Authority and the Next Policy Direction

Although Mark Uyeda, as acting Chair, holds full responsibilities of the SEC, customary practice suggests that officials in acting positions usually avoid making major decisions, leaving such decisions to the incoming official leadership. This means that the final confirmation and appointment of Paul Atkins will be a critical moment in determining the future regulatory direction of the SEC.

Paul Atkins has established close ties with the cryptocurrency industry during his consulting work in Washington. His nomination further reinforces the Trump administration’s commitment to easing cryptocurrency regulation.

Comprehensive Regulatory Landscape Shift: Parallel Changes at the CFTC

The changes at the SEC are not isolated. At the Commodity Futures Trading Commission (CFTC), Republican Commissioner Caroline Pham has been promoted to acting Chair, succeeding the departing Democratic Chair Rostin Behnam. Trump has yet to nominate a candidate for the official CFTC Chair position.

These personnel changes mark a systemic shift in the U.S. federal regulatory stance toward cryptocurrencies. The era of strict regulation under Gary Gensler has officially ended, and a new regulatory environment is beginning to take shape.

Commissioners stated in a joint statement that, despite policy disagreements, they have always maintained mutual respect. This professionalism ensures a smooth transition in the regulatory agencies during this leadership change period.