Peirce leaves SEC after decade, saying crypto rules still unfinished
Hester Peirce steps down as SEC commissioner on 2 October, leaving Paul Atkins and Mark Uyeda as the agency's only leaders while crypto legislation stalls in the Senate.
Key points
- Peirce's last day at the SEC is 2 October; she resigned in a letter to President Donald Trump posted on X.
- After she leaves, Republican Chair Paul Atkins and Commissioner Mark Uyeda will be the sole leaders at the agency.
- She created a crypto task force and welcomed SEC staff statements clarifying rules on staking.
- The SEC has released an innovation exemption, Regulation Crypto Assets and guidance on how securities laws apply to digital assets.
- Peirce will teach securities law and writing at Regent University School of Law from November.
Hester Peirce is leaving the US Securities and Exchange Commission after nearly a decade, with her last day set for 2 October, The Block reports. In an exit interview, Peirce said there is no good time to leave the agency because work on crypto rules remains unfinished. She sent her resignation letter to President Donald Trump and posted it on X on Friday.
Peirce, a Republican, served as commissioner under chairs Jay Clayton, Gary Gensler and now Paul Atkins. She became a prominent voice on digital asset regulation, pushing for clearer rules and criticising the agency's approach of charging major industry players for failing to register. She later created a crypto task force and welcomed SEC staff statements clarifying how its rules apply to staking.
After her departure, Atkins and Commissioner Mark Uyeda will be the only leaders at the agency, according to The Block. Democrats have pressed the Trump administration to appoint more commissioners so the five-person board is more bipartisan. Peirce's exit comes as comprehensive crypto legislation has stalled in the Senate and is unlikely to become law this year.
A decade at the SEC
The SEC has continued its own rulemaking regardless. It released its long-awaited innovation exemption, a five-year time-limited measure, after publishing Regulation Crypto Assets and earlier guidance on how federal securities laws apply to digital assets and transactions. Peirce said the goal is to move quickly towards a permanent rule set, and that finalising transfer agent rules and work on investment adviser and investment company custody remain priorities.
She named developer protection as a fundamental issue still to be addressed. Peirce argued that people who build tools should not be held responsible when others misuse them, unless they take part in the bad conduct themselves. She also called for a rethink of financial surveillance, saying the United States relies on it heavily and that new technology should allow better protection of Americans' privacy while still giving law enforcement effective tools.
Peirce warned against claims of decentralisation where an intermediary exists. She said transactions involving intermediaries should be regulated like existing intermediaries, because such firms can steal or lose customer money or be hacked. She also said people who hold their own crypto and trade without intermediaries should understand the risks they take on, and should not expect government protection after opting out of a protective regime.
Rules still unfinished
On legislation, Peirce said she remains hopeful the Clarity Act could pass, but that the SEC already has authority it has been using and should keep adopting rules. She said durable rules are more likely to survive when people use the products built under them. Peirce will teach securities law and writing at Regent University School of Law from November, and said the agency's work continues regardless of one commissioner's departure.