Paul Atkins Reveals $6 Million in Crypto Exposure

Paul Atkins, Trump’s pick for the next SEC Chair, is set to face Senate confirmation hearings today. In preparation for this, Atkins revealed at least $6 million in indirect crypto exposure.

Senator Elizabeth Warren penned an open letter, expressing fears that his crypto entanglements could create a conflict of interest. Also, D.O.G.E. cuts have begun at the SEC despite Commissioner Peirce’s opposition.

Paul Atkins Reveals Crypto Exposure

Since former Chair Gary Gensler left the SEC, the Commission has been without a permanent leader. President Trump nominated Paul Atkins for the position, but Mark Uyeda has been the Acting Chair in his stead.

Today, Atkins is about to face Senate confirmation hearings to become SEC Chair, causing him to disclose his financial investments.

According to a new report, Atkins revealed that he has up to $6 million in multiple indirect crypto exposures. Of this, $1 million is divided between Securitize, BlackRock’s tokenization firm, where Atkins previously sat on the board, and Anchorage Digital. The other $5 million is invested in Off The Chain Capital, where he is also a limited partner.

To be clear, these are all indirect investments, and Atkins does not hold Bitcoin or any other token. Still, the SEC is one of the top financial regulators in the US, and concerns are already building that the industry holds too much influence.

In a Sunday letter, crypto critic Senator Elizabeth Warren urged him to limit potential conflicts of interest:

“Mr. Atkins, you have served as a Board Advisor to the Digital Chamber, a registered lobbying group for the crypto industry. In these roles, you and your firm were paid by the same companies that you would now be responsible for regulating. This will raise serious concerns about your impartiality and commitment to serving the public interest if you are confirmed,” Warren stated.

A Weaker, Biased SEC Under Atkins?

In other words, Senator Warren fears that Atkins may act nakedly partisan to support the crypto industry. In total, Pauk Atkins and his wife own up to $588 million in assets. This tally includes more indirect exposure.

Most notably, Atkins founded Patomak Global Partners, a creditor listed in FTX’s bankruptcy proceedings. Although he pledged to divest from this firm, the potential concern for conflict of interest remains.

Meanwhile, the SEC itself is under significant federal scrutiny. One of its commissioners, Hester “Crypto Mom” Peirce, has been enthusiastically supporting its new pro-industry stance.

However, she also implored the federal government not to enact D.O.G.E. cuts, which could hamper the SEC’s mission.

That is to say, Atkins may face some very serious concerns about conflicts of interest in the crypto industry. The man holds millions in various crypto exposures, and his consulting firm will likely obtain some tokens during FTX’s bankruptcy proceedings.

His tenure could come to represent an SEC that is both weaker and biased, a dicey prospect.

Still, it’s unclear if these crypto entanglements will seriously hamper Atkins’ chances at confirmation. Most of Trump’s appointees have gone through without issue, and these concerns are hardly disqualifying.