In a high-stakes hearing on March 27, 2025, the U.S. Senate Banking Committee spotlighted a major shift in the direction of digital asset regulation, capital markets oversight, and banking policy—one that could reshape the future of finance. The committee heard testimony from three consequential nominees in President Trump’s second-term administration: Paul Atkins for Chairman of the Securities and Exchange Commission (SEC), Jonathan Gould for Comptroller of the Currency, and Luke Pettit for Assistant Secretary of the Treasury for Financial Institutions.
Together, their testimony signals a significant policy realignment in the executive branch of the United States government, one that could finally bring regulatory clarity and momentum in Congress to the long-awaited legislative framework for digital assets.
Atkins Pledges a “Rational, Coherent” Regulatory Framework
Paul Atkins, a former SEC Commissioner with deep institutional knowledge and industry experience, made it clear that crypto regulation would be front and center if he’s confirmed to lead the Commission. In his testimony, Atkins emphasized in his written testimony that “a top priority of my chairmanship will be to work with my fellow Commissioners and Congress to provide a firm regulatory foundation for digital assets through a rational, coherent, and principled approach.”.
Atkins’ statement aligns with criticisms from both sides of the aisle that the SEC under Gary Gensler relied too heavily on regulation by enforcement. That strategy, critics argue, stifled innovation, harmed investors, and discouraged responsible industry development in the United States, forcing innovation overseas.
Atkins’ approach, informed by his past tenure as a commissioner and his experience in the private sector, leans toward clear rules of the road. He highlighted the urgent need to “reset priorities and return common sense to the SEC,” distancing himself from Gensler’s term and making the case that over-politicized and ambiguous regulation harms capital formation and investor protection.
Support from Senate Banking Chair Tim Scott
Importantly, Senator Tim Scott (R-S.C.), the Chairman of the Senate Banking Committee, reiterated his strong support for Atkins earlier this year. Scott emphasized Atkins’ track record, noting that he has long supported policies aimed at boosting capital formation and employment. Scott added that Atkins’ deep regulatory experience positions him to help address what he described as the “damage” done to capital markets under Gary Gensler’s leadership. He further remarked that Atkins recognizes the growing demand for regulatory clarity in the digital asset space, an issue affecting millions of Americans seeking access to this emerging asset class.
Scott’s remarks reflect bipartisan concern over the SEC’s posture toward digital assets under the leadership of former SEC Chair Gary Gensler. In a recent Yahoo News interview, Senator Kirsten Gillibrand (D-N.Y.), a leading Democratic voice on crypto policy—and co-sponsor of Senator Bill Hagerty’s stablecoin legislation (the GENIUS Act) echoed that sentiment. Senator Gillibrand praised Atkins and underscored the need for comprehensive legislation on stablecoins and crypto market structure. Though she personally does not own Bitcoin, Gillibrand emphasized the need to create a framework that both protects consumers and enables innovation to thrive.
Gould and Pettit Offer Broader Financial Vision, Embrace Innovation
Jonathan Gould, nominee for Comptroller of the Currency, focused his testimony on maintaining the relevance and resilience of the national banking system. Gould, who has served as OCC chief counsel under both Republican and Democratic administrations, vowed to “depoliticize the banking system” and “embrace innovation within the agency and the banking system.”
That innovation includes supporting responsible engagement with digital assets and modernizing the tools banks use to serve an increasingly digital economy. Gould’s experience drafting the Economic Growth, Regulatory Relief, and Consumer Protection Act of 2018 provides a solid foundation for rethinking how banks interact with emerging asset classes.
Similarly, Luke Pettit, nominee for Assistant Secretary of the Treasury for Financial Institutions, brings an international and human-centered view to financial regulation. In a deeply personal and patriotic statement, Pettit reminded the committee that financial regulation is ultimately about people—those “buying a home, starting a business, accessing credit, or saving for retirement.” He pledged to uphold a financial sector that “fosters economic growth, freedom, and opportunity for all Americans.”.
His grounding in both the Senate and the Federal Reserve suggests that Pettit is well positioned to balance market innovation with systemic safety; particularly in areas like financial education, community development, and digital infrastructure.
From Enforcement to Engagement: A New Policy Playbook?
Taken together, these nominations are not business as usual. They represent a policy pivot. In contrast to the previous administration’s cautious and often adversarial stance on crypto, the Trump administration appears poised to implement a more industry and innovation-first approach to digital asset regulation. This shift could finally make room for legislation that has been years in the making, including stablecoin and market structure bills championed in both chambers.
What makes this moment different? It’s not just the nominees, it is the convergence of legislative pressure, bipartisan frustration, and increasing public optimism and demand. According to the 2025 Security.org’s annual Cryptocurrency Adoption and Consumer Sentiment Report, crypto ownership has nearly doubled in the three years since the end of 2021. In 2025, approximately 28% of American adults, or about 65 million people, own cryptocurrencies. And with crypto-friendly voices emerging on both sides of the aisle, the possibility of bipartisan legislation is no longer beyond the realm of possibility.
While the appointments of Atkins, Gould, and Pettit signal a clear intent to reset the regulatory posture from enforcement-first to engagement-driven, this executive momentum must be matched by Congressional action. The American constitutional system divides powers between branches for a reason: the executive branch can implement policy and steer regulatory priorities, but it is Congress that writes the law.
Agencies like the SEC and OCC do not inherently possess lawmaking power; rather, they derive their authority through legislation passed by Congress (commonly known as enabling legislation or organic statutes). These statutes define the jurisdiction and scope of agency powers and establish the legal boundaries within which regulations can be developed and enforced. Without modernized laws that explicitly account for the features of digital assets, agencies are left interpreting statutes drafted long before the invention of blockchain, often leading to patchwork.
What’s Next?
If confirmed, Atkins, Gould, and Pettit would represent one of the most crypto-savvy regulatory lineups to serve concurrently in key financial oversight roles. Whether their collective experience and stated openness to reform will translate into effective, forward-looking policy for a wide swath of consumers and investors—beyond the investor class—remains to be seen.
Still, the real test lies ahead. Will Congress seize the opportunity to pass meaningful legislation? Will regulatory agencies translate the pro-innovation rhetoric of their probable leaders into concrete, consistent rules that the industry can rely on?
For now, all eyes are on the Senate.
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