US crypto regulators drop to three commissioners as SEC’s Hester Peirce leaves

US crypto regulators shrink to three commissioners

The US Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC) will be left with only three commissioners after Friday, when SEC Commissioner Hester Peirce leaves her post. The two agencies oversee parts of the roughly $3 trillion crypto industry.

Peirce, known to many in the industry as “Crypto Mom” for her views on digital assets, served as an SEC commissioner for eight years. She is leaving about two months before the end of the 18-month extension for her second term. Her departure will be only the second time in US history that the SEC has operated with two commissioners.

Three commissioners and seven empty seats

• After Friday, SEC Chair Paul Atkins and Commissioner Mark Uyeda, both Republicans, will be the SEC’s only two commissioners in a panel that normally has five members. Uyeda was picked by President Joe Biden in 2022; Trump chose the other current leaders at the agencies.
• The CFTC has been led by Chair Michael Selig as its only commissioner since December 2025, when acting chair Caroline Pham left.
• Seven commissioner seats across the SEC and CFTC will be empty after Friday.
• Trump is the only person who can nominate replacements under federal law, but the White House has not formally announced any nominees.

What officials say about the vacancies

A CFTC spokesperson said Selig “welcomes new Commissioners to the CFTC upon their nomination and confirmation by the US Senate” and that the agency is “more than equipped to also oversee [its] part of the crypto market.”

A White House official said Trump intends to nominate members to both agencies “in the near future.” The SEC did not immediately respond to a request for comment.

In a June letter to Trump and Senate Majority Leader John Thune, Senate Democrats said Congress designed these agencies to be bipartisan, but “the Trump Administration appears intent on ensuring that it retains complete control over these agencies, with little interest in working in good faith with Congress.”

Why the vacancies matter for crypto rules

With fewer commissioners in place, the SEC and CFTC have continued to shape crypto regulation through agency-written rules rather than laws passed by Congress. Many in the industry had pushed for the Digital Asset Clarity (CLARITY) Act, which was expected to give the CFTC more authority over digital assets. The bill failed in the Republican-controlled Senate earlier this month.

Without the bill, the two agencies have taken different approaches to applying federal laws to companies that issue digital tokens. The SEC issued staff guidance on investment contracts, while the CFTC set out how companies could use blockchain recordkeeping.

What is still unclear about new nominees

No names, dates, or a formal timeline for replacements have been announced. The White House has not publicly nominated anyone. CNBC reported on Sept. 4 that White House officials had been vetting four candidates to fill the empty CFTC commissioner seats, but the report did not identify them. A White House official said only that nominations were intended “in the near future.”

Sources

• Cointelegraph