As reported by Bitcoin.com, U.S. Securities and Exchange Commission (SEC) Commissioner Jaime Lizárraga has revealed plans to resign from the agency effective January 17th, 2025. In a statement released on November 22nd, Lizárraga attributed his decision to family considerations, particularly in light of his wife Kelly’s serious health issues. He stated, “Until my departure in January, I will remain fully engaged in the Commission’s ongoing work and activities. I don’t yet know what comes next, but I do know that it has been a great honor to serve as SEC Commissioner.”
After dedicating 34 years to public service, Lizárraga emphasized the importance of prioritizing his family's well-being while expressing optimism for Kelly's recovery. He extended his gratitude to President Joe Biden for the opportunity that came with his nomination and reflected on his role at the SEC as a significant honor.
Lizárraga also took the opportunity to commend SEC Chair Gary Gensler for his exceptional leadership, remarking on the collaborative nature of his work with fellow commissioners. He highlighted the agency’s focus of upholding the integrity of America's capital markets, noting the work put forth under Gensler’s leadership.
Coinciding with Lizárraga’s announcement, Gensler has also confirmed his resignation, effective January 20th, 2025, just days before President-elect Donald Trump’s inauguration. Gensler’s tenure has been characterized by a rigorous regulatory stance on the cryptocurrency market, during which he initiated enforcement actions against major exchanges including Binance, Coinbase, and Kraken.
His exit aligns with Trump’s campaign promise to eliminate Gensler in favor of a more accommodating regulatory framework for cryptocurrencies.
Currently, the SEC comprises five commissioners, with Lizárraga being one of two Democrats alongside Caroline A. Crenshaw, while Republicans Hester M. Peirce and Mark T. Uyeda complete the commission.
An advocate for enhanced regulation of the cryptocurrency sector, Lizárraga has cited the market's unregulated status as a principal source of risks. Following the collapse of crypto exchange FTX in November 2022, he found common ground with Gensler’s assertion that a majority of crypto tokens should be classified as securities. Lizárraga has consistently argued that the complications presented by the digital asset space far exceed those typically encountered in traditional financial systems. In January, he cast his vote against the SEC’s approval of spot bitcoin exchange-traded funds (ETFs).
During a keynote address at Brooklyn Law School in November 2022, he expressed skepticism regarding cryptocurrency’s potential for advancing financial inclusivity, stating that it has yet to provide significant inclusivity or sufficient investor protections.
In a related development, President-elect Donald Trump has positioned himself as a proponent of cryptocurrency, vowing to transform the U.S. into the “crypto capital of the planet” and advocating for a national bitcoin reserve. Additionally, he has nominated a Treasury Secretary whose views align with a pro-cryptocurrency stance.
Comments