There are major rumors about Richard Fairley, a Wall Street Lawyer being Gary Gensler’s replacement.
While Fairley’s qualifications make him a solid candidate, his background in the Trad-Fi sector is causing a panic wave.
Analysts like Adam Cochran believe Fairley is “one of the worst” candidates for the role.
Others like Timothy Peterson expect Fairley to be great for the sector.
Time will tell who the next SEC Chair will be, and whether they will benefit the crypto sector.
Some rumors are swirling around the crypto world as of writing:
Rumors that could either be a daydream or a nightmare, depending on which angle one views from.
These reports now show that Wall Street attorney Richard Farley may be on the list to replace Gary Gensler in the new Trump administration.
This bit of news has triggered a wave of mixed reactions, with many in the crypto community expressing concern.
Fairley’s balance in the Trad-Fi sector could either bring a balanced regulatory approach if he is chosen—or turn out to be another round of the Gensler nightmare.
Richard Farley is a partner at Kramer Levin Naftalis & Frankel law firm. He is also head of its leveraged finance group and is reportedly being considered a successor to Gary Gensler at the SEC.
Possible successor to Gary Gensler
Throughout Farley’s career, he has represented several major financial players like Goldman Sachs, Credit Suisse, UBS and Cantor Fitzgerald.
He is known for his expertise in leveraged buyouts and is widely respected on Wall Street.
However, the problem is that crypto community members are worried about his traditional finance connections—particularly how he might approach crypto regulation.
Farley is a well-known SEC historian and even authored the 2015 book:
“Wall Street Wars—The Epic Battles with Washington That Created the Modern Financial System."
All of this shows that he deeply understands the SEc and financial markets.
It also means that he might bring a unique perspective to the role if selected.
The news of Farley’s chances has sparked mixed reactions within the crypto community.
Some experts have expressed fears that Fairley’s position might turn out to be a “Gensler 2.0” experience.
One of these is Adam Cochran, a partner at venture capital firm Cinneamhain Ventures.
In a recent tweet, Cochran didn’t mince words in calling the Wall Street lawyer "one of the worst" choices because of his background.
Cochran argued that other candidates like former CFTC Chair Chris Giancarlo (CryptoDad) and current SEC Commissioner Hester Peirce (Crypto Mom), would be better for the role.
On the other hand, analysts like Timothy Peterson are more optimistic.
In Peterson’s view, Fairley could be great for encouraging innovation while making sure that the market remains stable.
Why Fairley could be good
Peterson argued that this "background" that scares speculators could translate into "thoughtful frameworks" for the crypto industry.
Reports from the New York Post show that Trump’s team is seriously considering several candidates for the SEC chair role.
Notably, Dan Gallagher, Robinhood’s chief legal officer and a former SEC commissioner, is seen as a frontrunner for the position.
Another is Chris Giancarlo, the "CryptoDad," who is believed to be more pro-crypto and will likely advocate for softer policies.
The current SEC Commissioner, Hester Peirce, who is a longtime advocate for the crypto industry is also being considered.
The Trump administration repeatedly stated that it intends to steer the SEC back towards being a consumer protection agency.
Gensler's tenure has been criticized severally as being the opposite of this—an aggressive multi-year witchhunt that has "hindered innovation."
The arrival of a new SEC chair could be the signal for a shift towards friendlier rules.
Over the years, Farley has built a career around leading financial institutions and law firms.
He presents himself as a skilled lawyer with a focus on complex financial transactions.
On the flipside, he is a registered Democrat—the same party as Harris, Biden and Gensler.
Despite this, his social media views align more with Republican standpoints since his marriage to Chivacci “Chele” Farley, the GOP’s finance chair in New York City.
This background, combined with his connection to Robert F. Kennedy Jr. (a known Trump supporter), suggests that he might not be as bad as speculators say.
Fairley has unclear views on crypto.
In addition to all this, Farley has even directly expressed thoughts about the SEC’s approach to financial markets in the past.
In a New York Times op-ed he wrote in 2012, he argued for a bold yet effective leader for the SEC.
He further stated that a Wall Street insider would be great for the role.
As Trump’s transition team continues to narrow down its choices, the final decision will likely have major consequences for the crypto industry.
A chair like Fairley with a traditional finance background could bring stability.
However, he may also lean towards restrictive policies like Gensler.
Others like Chris Giancarlo and Hester Peirce (Crypto Dad and Crypto Mom) may be more crypto-friendly.
Overall, the next few months will determine the direction of the SEC and crypto regulation.
Disclaimer: Voice of Crypto aims to deliver accurate and up-to-date information but will not be responsible for any missing facts or inaccurate information. Cryptocurrencies are highly volatile financial assets, so research and make your own financial decisions.