Robinhoods top lawyer might replace SEC chairman Gensler under Trump: report

A top Robinhood executive has emerged as the leading contender to front the Securities and Exchange Commission if Donald Trump wins the presidency and ousts SEC Chair Gary Gensler, according to a report.Dan Gallagher – Robinhood’s chief legal officer and a former SEC commissioner – is believed to be the Republican nominee’s top pick, according to a dozen former top regulators, lobbyists and securities lawyers interviewed by Politico.“He’d be a natural choice,” a former SEC official told the publication.Meanwhile, the SEC is weighing whether to pursue a lawsuit against Robinhood and its cryptocurrency business. The regulatory agency has been cracking down on the sector – specifically transactions involving crypto tokens, which the SEC considers securities. The SEC is looking into whether the day-trading platform is operating an unregistered broker-dealer and clearing agency in the crypto markets.“It’s a dog of a case,” Gallagher told Politico. Robinhood offers trading in just a fraction of crypto tokens compared to other platforms with hundreds of tokens, Gallagher said.The California-based fintech company doesn’t have any crypto lending or staking products, he said.“We’ve been forgoing revenue for the company by not going hog wild listing coins, and I think that puts us in a very, very unique position,” Gallagher told the outlet.

“Shooting at the good guys is a really bad policy.”The SEC did not immediately respond to requests for comment.Whether the agency decides to pursue the suit or not, it is clear that Republicans and Democrats alike want to oust Gensler. Other names floating around as potential Trump picks for the position include former Commodity Futures Trading Commission Chair Chris Giancarlo, also known as “CryptoDad”; former SEC General Counsel Robert Stebbins, now a partner at Willkie Farr & Gallagher;  and current SEC Commissioner Hester Peirce, who occupies a Republican seat on the commission, according ...