SEC Chair Gary Gensler, who led U.S. crackdown on cryptocurrencies, to step down

SEC Chair Gary Gensler steps down after aggressive oversight of cryptocurrencies, financial markets, and investor protection measures.

Securities and Exchange Commission Chair Gary Gensler, who was aggressive in his oversight of cryptocurrencies and other financial markets, will step down from his post on Jan. 20.

Mr. Gensler pushed changes that he said protected investors, but the industry and many Republicans bristled at what they saw as overreach.

President-elect Donald Trump had promised during his campaign that he would remove Mr. Gensler. But Gensler on Thursday (November 21, 2024) announced that he would be stepping down from his post on the day that Trump is inaugurated.

Bitcoin has jumped 40% since Trump’s victory. It hit new highs on Thursday (November 21, 2024) and was nearing $100,000. Bitcoin moved notably higher still after Gensler's resignation was announced.

Gensler's stance on the rise of cryptocurrencies was captured during a speech he gave during the first year of his chairmanship in 2021 where he described the market as “the Wild West.”

“This asset class is rife with fraud, scams, and abuse in certain applications,” he said in a speech at the Aspen Security Forum. “There’s a great deal of hype and spin about how crypto assets work. In many cases, investors aren’t able to get rigorous, balanced, and complete information.”

Under Gensler, the SEC brought actions against players in the crypto industry for fraud, wash trading and other violations, including as recently as last month when the commission brought fraud charges against three companies purporting to be market makers, along with nine individuals for trying to manipulate various crypto markets.