Crypto

Robinhood’s Dan Gallagher declines potential SEC chair role

Dan Gallagher, Robinhood Markets’ chief authorized officer, has withdrawn from consideration to steer the U.S. Securities and Change Fee beneath the incoming Trump administration.

Gallagher’s determination to take away himself from consideration marks a significant improvement within the seek for Gary Gensler’s successor. Gensler has introduced his deliberate departure for Jan. 20, 2025, concluding a tenure marked by main cryptocurrency trade oversight and enforcement actions.

In accordance with Bloomberg, Gallagher wrote in an e mail:

“I’m dedicated to Robinhood and our hundreds of thousands of consumers who signify the brand new era of retail buyers.”

Gallagher additionally expressed his enthusiasm for working with the incoming Trump administration and future SEC chair to advance innovation and retail investor alternatives.

Gallagher served as an SEC commissioner earlier

Gallagher brings substantial regulatory expertise, having served as an SEC commissioner from 2011 to 2015 and holding senior positions within the company’s Division of Buying and selling and Markets.

Since becoming a member of Robinhood in mid-2020, he has guided the corporate by way of the world of the meme inventory buying and selling phenomenon. His prior expertise contains roles at WilmerHale and as chief authorized officer at Mylan NV.

The crypto group had considered Gallagher as a possible ally in implementing Trump’s pro-cryptocurrency agenda.

Rumors of Trump’s asking Gallagher to the lead the SEC began final month.

Gallagher’s identify emerged at a time when tensions between the SEC and the crypto trade had been at an all-time excessive. Beneath Gensler, the SEC has been cracking down on crypto exchanges like Coinbase, Kraken, Ripple and Binance, arguing that many cryptocurrencies needs to be labeled as securities.

Robinhood’s crypto division additionally discovered itself within the SEC’s crosshairs, receiving a Wells Discover in Might — an indicator that costs might be forthcoming.

Three months later, OpenSea — the most important non-fungible tokens market — received a Wells Discover as effectively. The SEC alleges that sure NFTs on the platform could also be labeled as securities. That’s a declare that would have severe repercussions for the complete NFT area (for extra on that matter, take heed to episode two of The Crypto.news Show).

The crypto trade usually argues that the present SEC framework doesn’t match digital belongings, making a regulatory headache for firms attempting to conform.

What’s subsequent

Gallagher’s withdrawal impacts the trade’s hopes for a extra favorable regulatory atmosphere. That is given his understanding of each conventional finance and digital asset markets.

In saying his departure, Gensler highlighted the SEC’s mission of investor safety and market integrity. “The SEC is a outstanding company. The workers & the fee are deeply mission-driven,” he said on X.

The seek for the following SEC chair continues because the cryptocurrency trade anticipates potential regulatory shifts beneath the incoming Trump administration. 

Trump’s pro-crypto stance and guarantees aided within the total bullish crypto market situations. Bitcoin (BTC) has additionally retraced to the $98,000 degree after surging above $99,000.

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