Rep. Wiley Nickel (D-NC) said that the resignation of SEC Chair Gary Gensler provides an opportunity for new leadership to collaborate with Congress in a bipartisan manner to maintain the U.S.'s leadership in financial technology. Nickel shared his statement with Federal Newswire on November 22.
"I welcome the news of Chair Gensler's retirement," said Nickel, Congressman. "His tenure has been marked by overreach, excessive and misguided rulemaking, regulation by enforcement, and an adversarial approach to blockchain innovation. I hope the next SEC Chair will focus on regulatory clarity, capital formation, consumer protection, and fostering innovation. We need balanced leadership that works with Congress in a bipartisan way to ensure the United States remains the global leader in financial technology and that our capital markets continue to be the envy of the world."
On November 21, Gensler announced his decision to step down from the Securities and Exchange Commission (SEC), effective January 20, 2025, as per a press release. Gensler previously served as the chair of the Commodity Futures Trading Commission (CFTC) before becoming SEC chair in 2021. In his statement, he expressed gratitude towards President Biden for entrusting him with the responsibility and noted that "the SEC has met our mission and enforced the law without fear or favor."
According to Stand With Crypto, Nickel was a cosponsor of the Financial Innovation and Technology for the 21st Century Act (FIT21). This legislation aimed to delineate which digital assets fall under SEC authority and which should be governed by the CFTC. The act delegates authority over the digital asset spot market to the CFTC while establishing registration requirements for digital asset trading platforms under SEC jurisdiction.
Nickel was also among fourteen Democratic members of Congress who sent a letter in July to Democratic National Committee Chair Jaime Harrison and "prospective presidential candidates," urging them to adopt a forward-looking approach towards digital assets and blockchain technology. The letter emphasized that blockchain and digital asset ecosystems hold "immense potential for American innovation, economic growth, and financial inclusion." The legislators criticized what they perceived as "previous hostility" from Democratic leaders and current SEC leadership towards the crypto industry, calling for a new SEC chair supportive of innovation.
Roslyn Layton, a senior fellow at the National Security Institute, commented on Gensler's tenure at the SEC. She noted that while there have been numerous "non-fraud enforcement actions" against crypto companies, no regulatory guidelines have been issued regarding digital asset registration or security status determination. Layton pointed out that there are no forms or instructions available for registration. She further said that some companies have exposed issues with SEC's practices when challenging lawsuits.
According to Roll Call, Nickel previously served as a North Carolina state senator before being elected to represent its 13th Congressional District. He has chosen not to run for reelection in 2024 but is contemplating a possible U.S. Senate campaign in 2026.
