Article author, source: 0x9999in1, MetaEra
On March 27, Paul Atkins, former member of the U.S. Securities and Exchange Commission (SEC) and SEC Chairman candidate nominated by President Donald Trump, attended a hearing of the Senate Banking Committee. MetaEra reported and analyzed that the SEC's adjustments in the past three months marked its attempt to transform from "adversarial regulation" to "dialogic governance." So at this extremely important hearing, what new insights and plans did SEC Chairman candidate Paul Atkins bring to the crypto industry?
Promoting benefits and eliminating disadvantages: Leading the SEC to move towards deregulation
Paul Atkins first criticized many policies during the tenure of former SEC Chairman Gary Gensler, including the federal court's overturning of SEC rulemaking, rising employee turnover, and controversial enforcement actions against cryptocurrency companies. He advocated a shift to a deregulatory route, emphasizing the need to establish a clear and effective rules system to promote innovation while maintaining market integrity, and vowed to lead the SEC back to its core mission - "protecting investors, maintaining market efficiency, and promoting capital formation."
Response to questions: Based on public interest and SEC's statutory duties
At the hearing, Senator Elizabeth Warren raised sharp questions about Paul Atkins's connection with the cryptocurrency industry and financial institutions. In the written questions submitted by Warren before the hearing, she specifically pointed out that Paul Atkins had provided consulting services to the bankrupt FTX exchange, questioning whether he could maintain a neutral position. She also disclosed that Paul Atkins' personal financial declaration form showed that he held about $6 million in cryptocurrency-related assets, and asked him to promise to avoid cases involving former clients during his tenure and to guarantee that he would not enter the financial industry within four years after leaving office. Then, she accused Paul Atkins of making profits for billionaire CEOs (such as Sam Bankman-Fried) for a long time and helping these people become richer. Warren also said: "He made almost all wrong judgments on the eve of the biggest financial crisis in the United States since the Great Depression, and such a resume is not worthy of promotion."
Paul Atkins responded by saying that he would abide by the code of ethics and promised to divest all financial assets (including crypto assets) that could cause conflicts of interest if appointed. Although he did not explicitly promise to abide by the ban on business after taking office, he emphasized that all decisions would be based solely on the public interest and the statutory duties of the SEC. In response to Senator Chris Van Hollen's questioning, he promised to thoroughly investigate the FTX incident.
Regulatory framework: "clear principles, sound structure, and technological neutrality"
Paul Atkins prioritized the development of a digital asset regulatory framework that is "clear in principles, well-structured, and technology-neutral," pointing out that the current ambiguity of rules has hindered innovation. He advocated consolidating the United States' global leadership in financial innovation through reasonable regulation, while opposing "overly politicized" rulemaking and calling on the SEC to focus on statutory responsibilities rather than partisan agendas.
It is worth mentioning that Paul Atkins promised that the SEC will operate in a transparent manner and listen to the opinions of the industry and consumers, which is in stark contrast to the past.
Richest SEC Chairman
If confirmed, Paul Atkins would become the richest SEC chairman in decades. He and his wife, Sarah, an heiress to a roofing products company, have a net worth of at least $327 million, according to disclosures filed with the Office of Government Ethics. His stake in consulting firm Patomak Global Partners is worth at least $25 million, according to public filings. Paul Atkins said he would step down as CEO of the company within 90 days of confirmation.
As the SEC stands at a crossroads in its regulatory choices, the results of Paul Atkins' nomination will profoundly affect the agency's policy direction in key areas such as the cryptocurrency market, enforcement priorities, and market structure reform. The Senate Banking Committee will continue to review his nomination qualifications. If approved by the committee, the nomination will be submitted to the full Senate for a final vote, at which time only a simple majority will be required to approve the appointment.
