During the election day this Tuesday, the Republican candidate, Donald Trump, won a comfortable victory and becomes the next American president. During his campaign, the mogul promised to end the SEC’s war on cryptocurrencies by firing Gary Gensler. Will Trump keep his campaign promise?
In advance, it can be said that firing Gensler does not seem like such a simple action, at least in the terms that Trump promised. During the Bitcoin 2024 Conference in Nashville, Trump stated that he would remove the official from the presidency of the SEC on his first day in office.
Gensler was appointed to the position by President Biden and will retain his position in theory until January 5, 2026. To remove him, the White House must prove that his conduct was deliberately negligent. Simply put, separating Gensler from the SEC requires good cause that cannot be obtained on the first day in office.
Bad faith conduct against the innovation sector could be a justified case for the official’s dismissal. However, this requires research to determine this. With this in perspective, it’s safe to say that Gary Gensler’s war on cryptocurrencies probably won’t end on January 20, 2025.
To keep his word, Trump can put maximum pressure on the official to resign. On the other hand, on January 20 he would announce the dismissal, which means the beginning of the process to remove Gensler from the agency.
Gensler’s war on cryptocurrencies in its final stages
There is a possibility that the new government will announce regulation for the Cryptocurrency sector in the first part of 2025. This would force Gensler to abandon the application of the 1933 securities laws to crypto assets. Basically, this step could affect the SEC’s lawsuits against numerous companies in the crypto sector.
In simple terms, the long-awaited regulation will surely have a new definition of what constitutes a security in the context of cryptocurrencies. In this way, both the SEC and the defendant companies could reevaluate the ongoing court cases, which would end with favorable results for the latter.
Metaphorically, the government would take the gun out of Gary Gensler’s hands and arm him with a water pistol. As expected, once the entire argumentative basis of the attack against cryptocurrencies collapsed, the official would have no choice but to resign.
Now that the main expectations have been met, Trump’s victory, the next step that the crypto market is closely following is the regulatory issue. Companies like Ripple, Coinbase, Kraken and others could finally shake off years of abuse of power by regulators.
In this way, it can be properly said that the days of Gensler’s war against cryptocurrencies are numbered. The result would be a new era of barrier-free innovation for startups and Blockchain projects in the United States.
Do you want to always be updated in the world of cryptocurrencies? Subscribe now to the CriptoTendencia WhatsApp channel! Here you will instantly receive the most relevant information about Bitcoin, Altcoins, DeFi, NFTs, Blockchain and the Metaverse.
Related
Crypto Keynote USA
For the Latest Crypto News, Follow ©KeynoteUSA on Twitter Or Google News.
