Trump’s Transition Team Considers Corporate Lawyers, Regulators for Key Financial Leadership Roles
On November 8, 2024, reports emerged that President-elect Donald Trump's transition team is evaluating prominent corporate attorneys and seasoned Republican regulators for top roles in financial regulatory agencies, including the Securities and Exchange Commission (SEC). A shortlist is expected soon, according to Reuters, as Trump’s team focuses on financial leadership to drive a significant policy shift.
Top Candidates for SEC Chair to Lead Policy Shift
Among the frontrunners for SEC Chair are Dan Gallagher, Robinhood’s chief legal officer and former SEC commissioner, and Paul Atkins, another ex-SEC commissioner and the current CEO of Patomak Global Partners. Gallagher, who is popular within the crypto sector, is anticipated to pivot away from current SEC Chair Gary Gensler’s more restrictive crypto policies, aligning with Trump’s campaign promises to ease financial regulations. Former SEC General Counsel Robert Stebbins is also being considered, although Gensler’s term is set to run until 2026. SEC Commissioner Hester Peirce, a crypto advocate, is reportedly uninterested in the chair position.
Plans to Overhaul Banking Regulations and Basel Standards
Trump has also promised to reduce what he describes as “burdensome” banking regulations, including strict capital requirements under the Basel standards implemented during the Biden administration. Reducing these regulatory requirements for large banks is likely to be a central focus. Expected banking leadership changes include potential replacements for Acting Comptroller of the Currency Michael Hsu and new leadership within the Federal Reserve's regulatory division and the Federal Deposit Insurance Corporation (FDIC).
Top Banking Candidates Under Consideration
For leadership in banking regulation, candidates include Fed Governor Michelle Bowman, known for her advocacy for regulatory relief in banking, and Travis Hill, vice chairman of the FDIC board. Jonathan Gould, a former senior deputy comptroller at the Office of the Comptroller of the Currency, is also reportedly under review.
Crypto Sector Eyes Potential Policy Shifts Favorable to Digital Assets
Trump’s campaign, which has received strong support from crypto advocates, has pledged to reshape the SEC’s regulatory approach toward digital assets and advance Bitcoin-friendly policies. Karoline Leavitt, Trump’s national press secretary, has confirmed that official personnel announcements will be forthcoming, highlighting a potential shift in the regulatory landscape for both traditional banking and the cryptocurrency sector under the Trump administration.
