Trump appoints Mark Uyeda as acting chair of the U.S. SEC, establishes cryptocurrency working group upon taking office

The newly appointed U.S. President Trump announced the appointment of Republican Commissioner Mark Uyeda of the U.S. Securities and Exchange Commission (SEC) as the acting chairman of the SEC. Former SEC Chairman Gary Gensler, who had multiple conflicts with Wall Street and the cryptocurrency industry, resigned on Monday, coinciding with Trump's inauguration. On Monday, Trump announced his plan to nominate former SEC Commissioner Paul Atkins as the official chairman of the agency. Atkins previously worked with Uyeda and current SEC Commissioner Hester Peirce. Uyeda worked for Atkins during his tenure as an SEC commissioner from 2002 to 2008. Currently, there are two vacancies among the five commissioner positions at the SEC, with Uyeda and Peirce being Republicans and one Democratic commissioner, Caroline Crenshaw. Media reports indicate that if Atkins' nomination is confirmed by the Senate, it would provide the Republicans with the third vote needed to advance regulatory rule changes, and Atkins is expected to significantly alter the Biden administration's approach to capital market management. However, the Senate has not yet scheduled a hearing for Atkins' nomination. Analysts believe that Uyeda's appointment may be welcomed by cryptocurrency companies, as he has criticized the SEC for failing to provide clear guidance on how cryptocurrency companies should register. In an interview with the media last October, he stated that the SEC's approach was "a disaster for the entire industry." Upon taking office, Uyeda initiated reforms in cryptocurrency policy, announcing on Tuesday the establishment of a cryptocurrency enforcement working group at the SEC, which will build a regulatory framework. Following this news, Bitcoin saw an intraday increase of 3.0%, reaching $106,290. However, some analysts believe that the SEC is unlikely to pass significant rules or repeal old ones before another Republican joins, as the only Democratic commissioner, Crenshaw, effectively holds veto power over rulemaking. According to the SEC's statutory meeting rules, a three-member commission can only advance regulations if all commissioners participate in the vote, unless a commissioner is unable to participate due to recusal or disqualification. Uyeda has served as an SEC commissioner since June 2022 and has repeatedly criticized Gensler's rulemaking and enforcement approach. He stated to the media last year: "The upcoming change in government will provide the SEC with an opportunity to reset its regulatory agenda, focusing on capital formation and innovation while protecting investors, especially seniors, from fraudsters." During his tenure as an SEC commissioner, Uyeda has called for the SEC to ease what he considers regulatory burdens that hinder companies from going public and has advocated for clear rules regarding digital assets. He has also opposed the approval of certain enforcement actions, including a settlement involving a blank-check company that helped Trump's media company go public. Before joining the SEC, Uyeda worked for former Senator Pat Toomey on the Senate Banking Committee and was appointed by former California Governor Arnold Schwarzenegger as a senior advisor to the state's securities regulatory agency