The U.S. Senate Banking Committee voted 13–11 on Thursday to advance President Donald Trump’s nominee, Paul Atkins, to chair the Securities and Exchange Commission—further solidifying the administration’s pivot toward crypto-friendly financial regulation. The vote, split strictly along party lines, sends Atkins’ nomination to the full Senate for consideration.
Atkins is a familiar face at the SEC, having previously served as a commissioner under President George W. Bush. His nomination is being closely watched by the crypto industry, which anticipates regulatory reforms aimed at clarity and accessibility. Should he be confirmed, Atkins would succeed Gary Gensler, whose tenure was marked by aggressive enforcement actions against digital asset firms.
The committee also approved several other nominees, including Jonathan Gould for Comptroller of the Currency, Luke Pettit for Assistant Secretary of the Treasury, and Marcus Molinaro for Federal Transit Administrator.
“Paul Atkins, a former SEC commissioner, will promote capital formation and provide much-needed clarity for digital assets,” said Senate Banking Committee Chair Tim Scott.
“Under his leadership, the SEC will return to its core mission and will ensure our markets remain the envy of the world.”
Partisan Responses and Concerns
Despite their previous backing of crypto legislation, several Democratic senators on the Banking Committee broke ranks Thursday to oppose Atkins’ nomination for SEC chair. Among those voting no were Sen. Angela Alsobrooks (D-MD), a co-sponsor of the GENIUS Act, and Sen. Ruben Gallego (D-AZ), who chairs the newly formed Senate Subcommittee on Digital Assets. Both had shown strong support for building a stablecoin framework just weeks ago—but drew the line at endorsing a nominee seen as likely to deregulate Wall Street and expand executive influence.
Sources on Capitol Hill suggest the dissent may be as much about optics as policy. With constituents increasingly vocal about Democratic inaction against Trump’s sweeping changes, a vote to confirm a high-profile regulatory nominee could have opened senators up to backlash at home.
During his confirmation hearing last week, Atkins—who has promised to prioritize crafting a clear regulatory framework for digital assets—was grilled by Sen. Elizabeth Warren (D-MA) over his firm’s advisory role with the now-defunct crypto exchange FTX. According to reports from The Wall Street Journal, Atkins’ firm, Patomak Global Partners, began advising FTX in early 2022—months before the exchange collapsed into bankruptcy and its CEO, Sam Bankman-Fried, was convicted on multiple criminal charges.
Sen. Warren also raised fresh ethical concerns about President Trump’s personal ties to the crypto sector, including his memecoin project and ongoing support for World Liberty Financial’s USD1 stablecoin. She argued that such relationships could compromise regulatory independence, especially with an SEC chair positioned to oversee the digital asset space.
SEC’s New Direction Signals Clear Departure from Gensler Era
Since the departure of former SEC Chair Gary Gensler, the Commission has undergone a dramatic shift in its approach to regulating the crypto industry. Acting Chair Mark Uyeda and Commissioner Hester Peirce have steered the SEC toward a more open and innovation-friendly posture. Over the past several months, the agency has rolled out a series of crypto-friendly policies.
Perhaps most notably, the Commission has moved to abandon or settle nearly all of its major enforcement actions against prominent U.S. crypto companies. High-profile cases against platforms like Coinbase, Binance, and Uniswap Labs have either been dropped or quietly sidelined.
As Paul Atkins prepares to assume leadership at the SEC, his tenure is widely expected to continue this deregulatory momentum. With support from a Republican-led Commission and the backing of a crypto-aligned administration, Atkins could play a pivotal role in shaping the first comprehensive regulatory framework for the U.S. digital asset economy—one that moves away from litigation-first tactics and toward long-term policy clarity.
Quick Facts
- Paul Atkins’ nomination as SEC Chair was advanced by the Senate Banking Committee with a 13–11 vote along party lines.
- Atkins has pledged to prioritize the establishment of a clear regulatory framework for digital assets.
- The Trump administration’s pro-cryptocurrency initiatives include efforts to integrate digital assets into the mainstream financial system and establish a strategic Bitcoin reserve.
- Democratic lawmakers have expressed concerns about potential conflicts of interest related to the administration’s crypto ventures.
