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SEC’s Head Of Crypto Assets Enforcement Division Quits Agency

SEC’s Head Of Crypto Assets Enforcement Division Quits Agency

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David Hirsch, the head of the Securities and Exchange Commission’s Crypto Asset and Cyber Unit, has left the agency after stepping down from his role.

Hirsch announced his retirement in a LinkedIn post after leading the SEC’s digital asset enforcement team for almost a decade.

Hirsch Steps Down

Hirsch stated in his post that Friday was the last day of his over nine-year career with the United States Securities and Exchange Commission. He added that after nine years, he was proud of the historic work done by his team at the Crypto Assets and Cyber Unit team, which he had the privilege of leading. 

“JUST IN: SEC’s head of crypto asset enforcement division resigns.”

Hirsch began his role as the head of the Securities and Exchange Commission’s Crypto Asset and Cyber Unit in October 2022. During his tenure, the agency undertook at least 45 cases related to crypto assets. Prior to his engagement with the SEC, Hirsch served as an enforcement attorney at the Securities and Exchange Commission’s Fort Worth Regional Office, starting in 2015. He was also the counsel to SEC Commissioner Caroline Crenshaw between September 2020 and October 2022. Crenshaw is known for her highly critical stance on crypto. Hirsch added that he would share details about his future plans after taking a personal break. 

A Change In The SEC’s Approach? 

The Securities and Exchange Commission has had a rocky relationship with cryptocurrency companies, with both sides engaged in several legal battles. The SEC and cryptocurrency firms have also failed to cooperate in creating a regulatory framework for the sector. These issues were primarily due to the SEC’s regulation-by-enforcement approach. However, this approach could see a change with Hirsch stepping down. 

Hirsch has been vocal about the Securities and Exchange Commission’s willingness to engage in legal action against crypto companies, with an increased focus on enforcement action. 

“Every success I was a part of was the direct result of collaboration and combined efforts towards a common goal.”

While Hirsch has not outlined any future plans after exiting the agency, the SEC itself has not commented on his resignation or on any replacement for Hirsch. 

Not Moving To Pump.fun

Pump.fun, a popular memecoin launchpad, claimed on X that Hirsch had joined the project after talking to a team member for months. The meme coin launchpad also claimed that Hirsch had launched over 100 memecoins. Pump.fun stated on its official X handle, 

“We are excited to announce our new Head of Trading, David Hirsch! After months of conversations with @a1lon9, David came to the realization that his work as a regulator was no longer fulfilling. He had to start a new chapter. And what’s better than doing the very thing you love? Believe it or not, David has launched over 100 coins himself. A memelord at heart, David will be in charge of pump dot fun’s new internal trading desk, which will be in charge of launching over 1,000 coins per day!”

However, Hirsch denied the claims, stating that they were false and that he had not joined any project. Fox Business reporter Eleanor Terrett called Pump. fun’s claims cringeworthy, adding that SEC staff cannot hold crypto while serving in the agency.

Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.

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