Sen. Elizabeth Warren (D-MA), a noted crypto skeptic, scrutinized Paul Atkins’ connections to the digital assets industry on Thursday, accusing U.S. President Donald Trump’s pick to lead the Securities and Exchange Commission Chairman of lackluster transparency.
The former SEC commissioner has “breathtaking” financial conflicts, Warren said during Atkins’ confirmation hearing before the U.S. Senate Banking Committee, arguing there are steps he can take to “commit to a higher standard of government ethics.”
Under former SEC Chair Gary Gensler, critics say the regulator took an overzealous approach, pursuing enforcement actions against a long list of crypto firms when rules are unclear.
Atkins, if confirmed, has vowed to follow a different approach. During Atkins’ previous stint at the regulator, he scrutinized enforcement activities, and said crypto guidelines currently are “ambiguous and nonexistent” on Thursday.
In 2017, Atkins founded the risk consultancy Patomak Global Partners, which has advised several crypto firms, including the collapsed crypto exchange FTX. Atkins’ stake is worth $25 million to $50 million, per Reuters.
Atkins plans on selling his Patomak stake, but Warren asked if he’d disclose “who the buyers are and how much they pay,” to ensure people aren’t buying access to Wall Street’s top cop.
Atkins demurred, saying he’s “abided by” White House guidance.
“Some people might call that a pre-bribe,” Warren countered.
Acting SEC Chair Mark Uyeda has adopted a crypto-friendly stance in Gensler’s shadow, retreating from enforcement cases and working on clearer guidance through a specialized task force. On Thursday, Atkins vowed to craft a “rational, coherent and principled approach” to regulating crypto.
As lawmakers weigh digital assets regulation on Capitol Hill, Warren has raised other red flags, recently saying a stablecoin bill is an attempt to “enrich” the president.
On Thursday, Warren repeatedly cited FTX’s disgraced crypto mogul, describing it as part of a larger pattern of benefiting the world’s corporate power players.
“Mr. Atkins has spent almost his entire career helping billionaire CEOs like Sam Bankman-Fried, who committed one of the biggest financial frauds in U.S. history,” she said, adding his inability to foresee the 2008 financial crisis would make him a “dangerous” regulator.
Edited by James Rubin
Daily Debrief Newsletter
Start every day with the top news stories right now, plus original features, a podcast, videos and more.
