Trump criticizes former SEC Chair Gensler for harming crypto industry

President Trump has taken direct aim at former SEC Chair Gary Gensler, accusing him of nearly destroying the American crypto industry during his tenure. The criticism, paired with promises to build a secure digital asset market, signals a continued and aggressive pivot away from the enforcement-heavy approach that defined the previous administration’s relationship with crypto.

Treasury Secretary Scott Bessent reinforced the message, stating that the previous administration’s policies “nearly destroyed the industry.”

From “fire Gensler” to actually replacing him

This isn’t new rhetoric from Trump. Back at the Bitcoin 2024 conference in July, he told attendees he would fire Gary Gensler on day one if elected.

Gensler’s term ended in January 2025, coinciding with Trump’s inauguration. Paul Atkins, a former SEC commissioner with a well-documented pro-crypto stance, stepped in as the new chair. Atkins has long advocated for lighter-touch regulation and clearer rules, the exact opposite of Gensler’s philosophy that most existing securities laws already applied to digital assets.

What actually changed

Within the first months of 2025, the new administration began rolling back the strict regulatory environment Gensler had built. Enforcement actions, which had become the SEC’s primary tool for shaping crypto policy, started declining.

The new administration has signaled plans for a fundamentally different approach. Clearer regulatory frameworks are on the table, along with potential legislation specifically addressing stablecoins.

What this means for investors

But investors should be clear-eyed about the risks here too. FTX collapsed not because of too much regulation but because of too little oversight of the right kind.

There’s also a political dimension worth watching. Regulatory approaches that hinge on one administration’s preferences rather than durable legislation can reverse just as quickly as they arrived. If stablecoin bills or broader crypto frameworks don’t get codified into law, everything the industry gains could be temporary.

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