Top Republican officials at the U.S. Securities and Exchange Commission (SEC) are preparing to revamp the agency’s cryptocurrency policies, potentially beginning next week as President Trump assumes office, according to three sources familiar with the matter.
SEC Commissioners Hester Peirce and Mark Uyeda are reportedly considering several initiatives, including launching a process to clarify when cryptocurrencies are considered securities and reviewing ongoing crypto-related enforcement cases. These measures could ultimately lead to formal guidance or rulemaking, two of the sources said.
Trump’s pick for SEC chair, Paul Atkins—a former commissioner known for his crypto-friendly stance—is expected to dismantle the aggressive regulatory approach championed by outgoing Chair Gary Gensler. However, Atkins’ confirmation by the Senate remains pending. Gensler has confirmed he will step down on January 20, coinciding with Trump’s inauguration.
During Gensler’s tenure, the SEC pursued at least 83 crypto-related enforcement actions, targeting major firms like Coinbase and Kraken, data shows. Gensler’s SEC argued that many cryptocurrencies function as securities and must adhere to SEC rules, often citing concerns about fraud and market manipulation.
Under the new administration, the SEC is expected to review pending enforcement cases and could potentially pause litigation that does not involve fraud allegations. Some cases may ultimately be withdrawn, sources said. Many defendants have argued that cryptocurrencies should be classified as commodities rather than securities, urging the SEC to provide clearer regulations.
Peirce and Uyeda are expected to initiate a rulemaking process by soliciting feedback from the industry and the public, marking the first step toward regulatory clarity. Additionally, the SEC is likely to rescind accounting guidance that has discouraged some publicly traded companies from holding crypto tokens on behalf of third parties, Reuters previously reported.
Trump, who embraced cryptocurrency during his campaign and referred to himself as a “crypto president,” is also expected to issue executive orders directing federal regulators to reassess their crypto policies. This optimism has already fueled a surge in Bitcoin prices, which surpassed $100,000 for the first time in December.
