Regulatory Shift Triggers Selection of Crypto-Adept Leaders by SEC
Fresh Take:
The United States Securities and Exchange Commission (SEC) is shaking things up with some fresh blood in key positions, as Chairman Paul Atkins adds four senior officials to the team, two of whom have a background in digital assets.
Starting July 8, Brian T. Daly steps into the role as Director of the Division of Investment Management. This dude has a ton of experience under his belt, advising hedge funds and investment firms, and has worked for bigwigs like Akin Gump and Schulte Roth & Zabel. He's not just a well-respected legal eagle, but has also served as an in-house compliance officer at Millennium Partners and Raptor Capital. With a regulatory approach centered on legal precision and institutional pragmatism, Daly is expected to bring some much-needed savvy to the crypto landscape.
Next up is Kurt Hohl, who will take the helm as Chief Accountant on July 7. After decades as a public accountant, Hohl is returning to the SEC. He's known for authoring the original Financial Reporting Manual during his first stint at the Commission in the 90s. He's got the chops, having previously served as a partner at Ernst & Young, bringing nearly 40 years of auditing experience. Focusing on strengthening accounting standards and transparency, Hohl will be instrumental in helping crypto-native companies navigate the IPO process and stablecoin disclosures.
Joining the Division of Trading and Markets on June 17 is Jamie Selway, a former executive at Blockchain. Selway has a strong background in both finance and digital assets, having recently served as a partner at Sophron Advisors and working with numerous fintech startups. His fintech and digital asset expertise is expected to inform a more nuanced regulatory framework for digital assets.
Finally, Erik Hotmire has been named Chief External Affairs Officer. While details about his background are scarce, his role suggests he'll be managing external communications and relations for the SEC.
These appointments suggest a change in the SEC's tone of engagement in the digital space, as they aim to balance investor protection with innovation in the cryptocurrency market, all while reducing regulatory uncertainty and fostering an innovation-friendly environment for digital assets.
This new direction has been evident since Atkins took over as chairman on April 22, with the SEC dropping or pausing several major lawsuits targeting crypto companies. The SEC has also made moves to engage in open dialogue with the industry, hosting its first crypto-focused task force roundtable this year.
Want to know more about the Ripple vs. SEC drama? Check out our latest update on whether Judge Torres will grant the latest motion.
- Brian Daly, with his extensive experience in traditional finance and digital assets, is anticipated to apply legal precision and institutional pragmatism to Ethereum and other cryptocurrencies as the newly appointed Director of the Division of Investment Management.
- Kurt Hohl, who will serve as the Chief Accountant, is poised to use his decades of accounting experience and his role in authoring the original Financial Reporting Manual to strengthen accounting standards and enhance transparency, especially for Ripple and other crypto-native companies navigating the IPO process and stablecoin disclosures.
- The joining of Jamie Selway, a former executive at Blockchain, in the Division of Trading and Markets is expected to contribute to a more nuanced regulatory framework for digital assets, given his expertise in both finance and digital assets, particularly for Ethereum and other fintech startups.
