Senate Banking Committee Halts Confirmation Vote for SEC’s Caroline Crenshaw

The Senate Banking Committee has decided to halt efforts to reconfirm SEC Commissioner Caroline Crenshaw. This decision came as Republican Senator Tim Scott concluded his speech at a Blockchain Association event. Scott, who is aiming to lead the next Banking Committee, had been opposing Crenshaw’s reconfirmation.

Crenshaw’s confirmation vote was initially scheduled for last week but was postponed after Senate Republicans successfully blocked it. The vote was rescheduled for this week, but the committee did not proceed with it. A committee spokesperson mentioned they had support but ran out of time.

With Crenshaw stepping down, both Chairman Gary Gensler and Commissioner Jaime Lizárraga, who are Democrats, will resign in the new year. President-elect Donald Trump will now need to fill three seats. Trump is expected to appoint Commissioner Hester Peirce or Mark Uyeda as acting chair, and his pick for the top Republican position, Paul Atkins, has been confirmed.

As a result, the committee will be small—at least for the first few weeks of 2025. This isn’t the first time the SEC has operated with just two commissioners, and precedent supports allowing these two to vote on matters and conduct business as usual. However, the more provocative these actions are, the higher the likelihood of legal challenges. The chair or acting chair holds all the power in setting the agenda.

Sentiment: Neutral