Crypto Community Split on Potential SEC Chair Candidate in Trump’s Administration

The potential appointment of Richard Farley, a Wall Street lawyer with deep roots in traditional finance, as the next SEC chair under President-elect Donald Trump is stirring mixed reactions within the cryptocurrency community.

Traditional Finance Concerns Spark Debate

Farley, a partner at the law firm Levin Naftalis & Frankel, has reportedly caught the eye of Trump’s transition team as a possible replacement for current SEC chair Gary Gensler, a known crypto skeptic. According to a recent report from The New York Post, the possibility of Farley leading the SEC has sparked debate, with some fearing he may adopt an anti-crypto stance.

Crypto investors like Adam Cochran, partner at Cinneamhain Ventures, have also voiced concerns about Farley’s background, suggesting it could lead to regulatory decisions unfavorable to the crypto sector. In a recent post on X, Cochran wrote, “Farley would be one of the worst picks. He’s a Wall Street banking lawyer with ties to RFK.”

Cochran further suggested that Trump should consider other pro-crypto figures, such as former CFTC chair Chris Giancarlo, SEC Commissioner Hester Peirce, or Robinhood’s chief legal officer Dan Gallagher.

Supporters Hope for Balanced SEC Chair

Despite concerns, some within the crypto community see potential in Farley’s candidacy. Network economist Timothy Peterson has suggested that Farley’s experience in traditional finance could lead to more structured and balanced regulatory frameworks for digital assets. In his own Nov. 8 post, Peterson commented that “Farley’s perspectives on regulation emphasize balanced oversight, which could foster innovation in the crypto space while ensuring market stability.”

Others, like pseudonymous trader Adios King, echo Peterson’s sentiment, highlighting that although Farley hasn’t taken a public stance on crypto, his pragmatic approach may provide the regulatory clarity the industry needs. Farley’s moderate views could position him to address the challenges of regulating an evolving market without stifling its growth.

Trump’s pick for the next SEC chair remains an important dcision for the digital asset landscape, as Gensler’s time in office has been marked by policies seen by some as hostile to crypto innovation. Potential candidates like Dan Gallagher, known for his industry-friendly views, and SEC Commissioner Mark Uyeda, who has openly criticized Gensler’s regulatory approach, are also being floated.