Next SEC Chair: Gary Gensler Replacement Odds Put Dan Gallagher, Chris Giancarlo, Hester Peirce, Others in Frame

Key Takeaways

• SEC chief Gary Gensler is expected to resign within the first two months of 2025 after the new U.S. administration takes office.
• Gensler’s anti-crypto stance has raised concerns from both candidates.
• Mark Cuban, Dan Gallagher, Chris Giancarlo, and others are in the frame for the role.

As the U.S. presidential race heats up, speculation around the future leadership of the Securities and Exchange Commission (SEC) has intensified.

Current Chair Gary Gensler is expected to step down in early 2025, and depending on the election outcome, the role of the SEC chair could see a significant shift in direction.

Gary Gensler Set To Leave

Cryptocurrency insiders and market analysts are increasingly convinced that Gary Gensler will step down in the first two months of 2025 should President Biden’s term come to an end.

Markus Thielen, founder of 10x Research, pointed out that it is common for SEC chairs to leave when a new administration takes office.

Moreover, Thielen suggested that a potential Trump presidency could spell trouble for Gensler’s role , citing President Biden’s withdrawal from the presidential race as a sign that Trump may emerge victorious in the 2025 election.

Whether he resigns or not, it’s clear that the winner of the upcoming U.S. elections— Kamala Harris or Donald Trump —will appoint a new chair for the SEC. Below is a list of the rumored candidates and their stances on cryptocurrencies.

Dan Gallagher

Dan Gallagher is reportedly Trump’s top pick to lead the SEC. His credentials make him a strong candidate for the role.

As a former SEC commissioner, he knows the regulatory landscape well and has criticized the agency’s handling of the crypto industry.

During his time at the SEC, Gallagher focused on regulatory practices, particularly those established after the 2008 financial crisis, and advocated for a review of U.S. stock market trading practices.

He has also expressed concerns about the constitutionality of the SEC’s internal courts.

Gallagher’s pro-crypto stance has earned him support from lawmakers, including Representative Bill Huizenga (R-Mich.). Huizenga praised Gallagher’s expertise following his testimony before the House Financial Services Committee.

However, whether Gallagher will leave his current role as Chief Legal Officer at Robinhood remains uncertain. He has stated that he enjoys his position. However, he also considers it an honor to be mentioned in discussions about the SEC chair.

Notably, the SEC is currently investigating Robinhood for allegedly operating as an unregistered broker-dealer. This could complicate Gallagher’s potential transition to leading the agency he has critiqued.

Chris Giancarlo

Another contender vying for the top spot at the SEC is Chris J. Giancarlo , a prominent advocate for blockchain technology and a central bank digital currency (CBDC) in the United States.

As the author of “CryptoDad: The Fight for the Future of Money” and founder of the Digital Dollar Project, Giancarlo has established himself as a driving force in shaping the future of financial infrastructure through blockchain innovation.

His expertise in regulated digital asset markets and stablecoin innovation earned him recognition from Charles Cascarilla, CEO of Paxos when he joined the company. Giancarlo is also a partner at Willkie Farr & Gallagher, where he co-chairs the digital works practice.

In 2022, the French government honored Giancarlo with the title of chevalier, citing his deep understanding of financial markets and the potential of crypto finance. The French ambassador’s praise underscores Giancarlo’s credibility as a thought leader in the digital asset space.

Hester Peirce

Hester Peirce , often called “Crypto Mom” by enthusiasts, is a leading figure in U.S. financial regulation and a vocal advocate for clearer, more supportive crypto regulations.

As an SEC commissioner since 2018, Peirce has pushed for a balanced approach, arguing that overly strict rules could stifle innovation in the crypto industry.

She introduced the Safe Harbor proposal, which offers new token projects a three-year grace period to develop without heavy regulatory oversight.

Peirce’s willingness to engage with the crypto community and her advocacy for decentralized finance has made her a favorite among crypto proponents.

With her term set to expire in 2025, speculation about her potential as the next SEC chair continues to build, particularly as the Web3 sector closely watches her next moves.

In a recent statement , Peirce criticized the SEC, which she serves, for misapplying the Howey Test , a longstanding legal framework for determining what constitutes a security offering.

Mark Cuban

Mark Cuban, the billionaire entrepreneur, has also unexpectedly thrown his hat into the ring for the top spot at the SEC.

Should Kamala Harris win the presidency, Cuban has expressed interest in leading the agency, citing his support for the crypto industry and his backing of Harris’ campaign.

While Cuban’s lack of government experience may raise eyebrows, it’s worth noting that previous SEC chairs, such as Jay Clayton, have similarly transitioned from the private sector to regulatory leadership.

Cuban has been a vocal critic of Gary Gensler’s aggressive crackdown on U.S. crypto firms and is reportedly advising Harris to adopt a more crypto-friendly stance.

During a speech, Harris emphasized the importance of supporting emerging technologies like blockchain while protecting consumers, a sentiment that aligns with Cuban’s views.

In a bold statement, Cuban declared that if he joins Harris’s administration, it would be to replace Gensler as SEC chair, signaling a potential shift in the regulatory landscape for the crypto industry.