Jennifer Lee, former Assistant Director of the SEC Division of Enforcement, stated on May 2 that the reelection of Donald Trump is unlikely to alter the SEC's approach to crypto regulation. Lee, speaking to CNBC, emphasized that during Trump's initial presidential term, the SEC actively pursued crypto cases, shedding light on the industry and introducing regulatory measures.

Lee anticipates that if Trump secures a second term, the SEC will persist in delineating its authority and oversight over the crypto space. While the SEC has become more consistent in determining which cryptocurrencies fall within its regulatory ambit, questions remain regarding the extent of its jurisdiction over the industry.

Although Lee did not provide specific details about the SEC's actions under Trump's first term, former SEC chair Jay Clayton notably expanded the SEC's oversight to encompass certain crypto transactions around 2018. Clayton's stance during a Senate hearing indicated that he considered many initial coin offerings (ICOs) as securities, while acknowledging that cryptocurrencies like Bitcoin were not viewed as securities at that time.

Contrary to Lee's perspective, former Chief of the SEC Office of Internet Enforcement, John Reed Stark, has suggested that under Trump, the SEC's stance on crypto may soften. Stark speculated in September that a Republican-appointed SEC chair could significantly reduce the agency's crypto enforcement efforts, possibly to appeal to crypto-friendly voters.

Stark also pointed out Trump's significant holdings in the crypto space, as evidenced by financial disclosures related to Trump's ventures in non-fungible tokens (NFTs). Additionally, other voices have echoed the expectation of a more favorable stance towards crypto under a potential second Trump administration, citing comments from House Majority Whip Tom Emmer and Trump himself expressing a measured approach to crypto regulation.

Despite potential shifts in policy, a change in presidential administration could impact the leadership of the SEC, as SEC chairs typically resign during administration transitions. Present SEC chair Gary Gensler, whose term extends until June 2026, could potentially step down if Trump secures reelection. The outcome of the US presidential election remains uncertain, with statistical forecasts indicating equal odds of victory between Trump and Biden.