Coinbase's Paul Grewal Backs Paul Atkins' Nomination to Head the U.S. Securities and Exchange Commission (SEC)

Paul Atkins' nomination to head the U.S. Securities and Exchange Commission (SEC) has sparked a mix of support and opposition.

Paul Atkins, the nominee to head the U.S. Securities and Exchange Commission (SEC), has sparked a mix of support and opposition. Coinbase’s Chief Legal Officer, Paul Grewal, is among those backing Atkins.

“We’re hopeful that the Senate will swiftly confirm Paul Atkins to lead the SEC. As we’ve stated before, clear, simplified rules from the SEC for digital asset securities would benefit entrepreneurs, investors, and the broader economy,” Grewal said in a statement to Blockworks.

“We’re grateful for the leadership of both Chair Gensler and Commissioner Peirce in offering such advice to Congress, and we encourage the administration and lawmakers to heed it as they work together to simplify the regulatory environment and offer better protections for consumers.”

Atkins, during his confirmation hearing, also called for a reduction in overly complicated regulations that stifle capital formation.

Alongside Jonathan Gould, the nominee for Comptroller of the Currency, Atkins also committed to addressing "debanking" practices - a term used to describe banks cutting off services to legal businesses.

However, Democratic opposition, particularly from Senator Elizabeth Warren, has focused on his financial ties and past dealings, including his role during the 2008 financial crisis. Despite this, Atkins is likely to gain confirmation from the GOP-controlled Senate.

Atkins' financial interests, especially his 10% stake in Patomak Global Partners, a firm that counts Coinbase as a client, have raised questions about potential conflicts of interest. He has pledged to divest from his holdings within three months of confirmation.

If confirmed, Atkins is expected to bring a shift in priorities at the SEC, with a focus on capital formation and easing burdens on industries like digital assets, in contrast to the more stringent policies pursued by Gensler. This approach could encourage greater growth and investment in the crypto sector.