Pro-XRP Lawyer John Deaton Outlines Actions for SEC’s New Chair to Support Crypto

• Deaton urges SEC Chair Atkins to reform staff and dissolve Digital Asset Unit.  
• Deaton calls for clear stance on DeFi and self-custody outside SEC regulation.  
• Bitcoin rises above $100K as crypto industry anticipates regulatory shift under Atkins.

John Deaton, has highlighted key steps that Paul Atkins, the newly nominated chair of the U.S. Securities and Exchange Commission (SEC), should take to improve the regulatory environment for cryptocurrencies. Atkins, nominated by President-elect Donald Trump, will replace Gary Gensler, whose leadership has been marked by stringent oversight of the digital asset space. 

One of Deaton’s first recommendations for Atkins is to address the SEC’s staffing structure. He advocates for the firing or demotion of SEC employees promoted by Gensler to leadership positions. According to Deaton, these individuals have acted in bad faith and have contributed to the regulatory overreach that has characterized the SEC’s stance on digital assets under Gensler’s tenure.

Deaton further urges Atkins to dissolve the SEC’s Digital Asset Unit, which focuses on cryptocurrency-related matters. He argues that such a specialized unit is unnecessary and that a broader fraud unit within the SEC should handle fraud-related cases, including those involving cryptocurrencies. 

Another change that Deaton advocates for is a clear stance on regulating decentralized finance (DeFi) and self-custody. Under Gensler’s leadership, there has been a tendency to categorize almost every crypto-related activity as a security, including self-custody. Deaton recommends that Atkins publicly clarify that self-custody and DeFi platforms are not under the jurisdiction of the SEC. 

Deaton’s call for such clarification aligns with Trump’s campaign promise to defend the right to self-custody. This change could have far-reaching implications, particularly for companies like Ripple, which has been embroiled in a lawsuit with the SEC over similar issues.

The announcement of Atkins as the next SEC Chair has already made waves in the cryptocurrency market. Bitcoin surged past the $100,000 mark on December 5, reaching a high of $103,800, as traders reacted positively to the prospect of a more crypto-friendly regulatory environment. 

The nomination of Atkins, known for his support of the digital asset industry, has fueled hopes of a deregulatory shift under the new administration. With Bitcoin’s market capitalization exceeding $2 trillion, the industry is closely watching how this leadership change will reshape the future of crypto regulation in the United States.