Senate Banking Committee Cancels Vote on Caroline Crenshaw’s SEC Renomination
On December 17, the Senate Banking Committee canceled its vote on Caroline Crenshaw's renomination as a commissioner at the US Securities and Exchange Commission (SEC), announced by FOX Business journalist Eleanor Terrett. This decision, made just days before Congress adjourns on December 20, concludes her chances for reappointment.
🚨BREAKING: A Senate aide has just informed me that tomorrow’s Senate Banking Committee scheduled markup vote on @SECGov Commissioner Caroline Crenshaw has been canceled.
She will not be renominated to her position.
— Eleanor Terrett (@EleanorTerrett) December 17, 2024
Initial Delays and Political Maneuvering
The cancellation is a setback for Crenshaw, initially appointed in 2020 and later renominated by President Joe Biden, expected to serve until 2029. Her tenure aligned closely with outgoing SEC Chair Gary Gensler on enforcement policies targeting the crypto sector. Without a formal vote, President-elect Donald Trump can appoint a new candidate when he takes office on January 20, 2025.
This decision follows an initial delay on December 11, where political friction stalled the nomination process. Outgoing committee chair Sherrod Brown postponed the vote, but Republican senators opposed rescheduling without broader chamber approval. This opposition contributed significantly to Crenshaw’s unsuccessful renomination bid.
Senator Tim Scott (R-SC), the committee's ranking member, criticized the timing of the vote, describing it as a “blatant attempt to hinder President Trump’s agenda,” reflecting ongoing tensions between the Biden administration and Republicans regarding the SEC's regulatory stance under Gensler.
Crypto Industry Opposition
The crypto sector influenced the narrative surrounding Crenshaw’s renomination. Trade groups such as the Blockchain Association, Stand With Crypto, and the DeFi Education Fund campaigned against her confirmation, viewing her as a regulator unfriendly to digital assets.
Industry leaders like Tyler Winklevoss from Gemini and Emilie Choi from Coinbase expressed opposition, highlighting frustrations with the SEC's regulatory approach. Critics argue Crenshaw's resistance to Bitcoin spot ETFs and skepticism towards digital assets stifled innovation and market growth, contributing to the campaign against her renomination.
The SEC, composed of five commissioners including the chair, significantly impacts financial markets, particularly the evolving crypto sector. Trump's selection for Crenshaw's replacement may indicate a shift toward policies balancing regulatory oversight with market innovation, a direction advocated by many in the crypto industry.