A Major Win for the Crypto Industry as SEC Commissioner Caroline Crenshaw’s Reconfirmation Vote is Canceled
On Wednesday, the scheduled vote to reconfirm SEC Commissioner Caroline Crenshaw was abruptly canceled, signaling an end to her chances of securing another term at the United States’ main digital assets regulator. This development is seen as a significant victory for the crypto industry’s efforts to expand its influence on Capitol Hill.
The U.S. Senate Banking Committee was set to vote on extending Crenshaw’s tenure at the SEC, where she has been serving since 2020. Initially rescheduled for the following Wednesday, the vote has now been officially canceled with no possibility of rescheduling, as confirmed by a Senate aide familiar with the matter.
According to crypto lobbyist and Digital Chamber President Cody Carbone, the likelihood of Crenshaw securing another term at the SEC is now “essentially dead.” In order to continue at the SEC, Crenshaw would have needed approval from the Senate Banking Committee before the end of the current congressional session, which ends on December 18.
With the congressional calendar coming to a close, Crenshaw’s only chance would be to seek approval from the newly Republican-controlled Congress in the next session—a scenario deemed highly improbable by industry insiders. This turn of events marks a significant shift in the SEC’s composition, potentially leading to a three-person Republican majority in the future.
SEC Chairman Gary Gensler, known for his tough stance on crypto, has announced his resignation from the agency, further reshaping the regulatory landscape. President-elect Donald Trump has nominated former SEC Commissioner Paul Atkins to be the agency’s next chairman.
In the lead-up to the Senate Committee’s vote on Crenshaw’s reappointment, various pro-crypto groups launched aggressive campaigns to sway lawmakers’ decisions. Stand with Crypto, backed by Coinbase, mobilized its members to send over 100,000 letters opposing Crenshaw’s nomination. Additionally, the Blockchain Association, DeFi Education Fund, and Cedar Innovation Foundation all joined forces to push against Crenshaw’s reappointment.
Notable figures in the industry, including Coinbase CEO Brian Armstrong, have publicly criticized Crenshaw’s tenure at the SEC, highlighting her stance on issues like Bitcoin ETFs. The growing influence of the crypto community in shaping regulatory decisions was evident in the recent election results, with hopes high for more crypto-friendly policies under the new administration.
As the landscape of digital asset regulation continues to evolve, the outcome of Crenshaw’s failed reconfirmation vote serves as a pivotal moment in the industry’s efforts to shape its future trajectory.
Additional reporting by Sander Lutz
Edited by Andrew Hayward