Paul Atkins officially serves as the chairman of the US SEC: What does this mean for cryptocurrencies?

Author: Connor Sephton , CryptoNews

Compiled by: Felix, PANews

According to official news, Paul Atkins will become the next chairman of the Securities and Exchange Commission (SEC).

The Senate confirmed the appointment with 52 votes in favor and 44 votes against, and the final hearing was also going well.

Paul Atkins tried to differentiate himself from his predecessor, Gary Gensler, during the hearing, saying: “I have led the industry to work hard for digital assets since 2017, and I have witnessed how the absence and ambiguity of digital asset regulation brings uncertainty to the market and suppress innovation.”

He went on to say that one of the top priorities when setting rules for the cryptocurrency industry is to take a “rational, coherent and principled approach.”

Senate Banking Committee member Tim Scott (another supporter of cryptocurrency on Capitol Hill) welcomed the appointment, adding: “Chairman Paul Atkins will also provide regulatory clarity for digital assets, allowing U.S. innovation to thrive and ensure we remain competitive on the global stage.”

This is significant because in the Gensler era, the SEC has long been accused of “law enforcement regulation”, viewing the entire crypto industry as a “wild west” full of fraud.

By contrast, Paul Atkins has served as an advisor to some of the major corporations in the digital asset space for years, including cryptocurrency exchanges and decentralized financial platforms.

Paul Atkins net worth exposed

According to strict information disclosure regulations, candidates for public office must declare their financial status.

Paul Atkins and his wife Sarah share assets worth over $328 million. Paul Atkins became the wealthiest U.S. SEC chairman in decades, according to Bloomberg.

Among them, a small portion of Paul Atkins' wealth is actually linked to digital assets, as follows:

• Holding up to $500,000 in Securities
• Holding up to $500,000 in Anchorage Digital
• Off The Chain Capital holds up to $5 million in assets in crypto investment fund.

All these assets must be divested because it may constitute a conflict of interest. But Paul Atkins’s connection to Securities is worth noting, who served on the company’s board of directors. The company has been working to position itself as a market leader in real-world asset tokenization (RWA), which is expected to be one of the main technology themes of the 2020s.

What will happen next?

Prior to Paul Atkins's chairmanship of the U.S. SEC, the committee was busy dealing with many cases initiated during Gensler's tenure.

The investigation into Crypto.com has been revoked. The regulator has reached an agreement with Ripple, which means a lawsuit that has lasted for many years is about to end. The cases against Kraken, Tron, Consensys, Gemini, OpenSea, Coinbase and Robinhood have also been closed.

Meanwhile, Hester Peirce, the “Mother of Cryptocurrency”, will lead a special task force focused on digital assets. The task force's priority includes defining whether digital assets belong to securities, reviewing which ones belong and are not subject to the jurisdiction of the U.S. SEC, and providing clear guidance on lending and pledges.

This means that one of the most important decisions before Paul Atkins is whether to approve a series of exchange-traded funds (ETFs) that track the spot prices of small altcoins, joining Wall Street’s existing ETFs such as Bitcoin and Ethereum.

A series of applications have been delayed in recent months – indicating that SEC officials are trying to delay time before the appointment of a new chairman. Approval of funds focused on XRP and SOL is particularly important as it may open the door to products that track numerous digital assets.

All parties responded enthusiastically to the confirmation of Paul Atkins’ nomination. Wyoming Sen. Cynthia Lummis said he "believes that his leadership will bring positive changes." French Hill, Republican, chairman of the House Financial Services Committee, hopes he can "repeal the harmful, anti-consumer regulations introduced during Gensler's administration."

While Paul Atkins’s takeover will help cryptocurrency companies accelerate innovation and clear barriers, he may not be able to bring the strong momentum investors expect. The continued uncertainty surrounding Trump’s tariffs and the global economy (not to mention the worsening trade war) means that the many disadvantages facing Bitcoin are far beyond his control.

Related Readings: Before officially taking over, can the SEC's "dialogue governance" make the encryption circle prosperous?