Former Crypto Unit Chief Steps Up
The former head of the U.S. Securities and Exchange Commission’s crypto and cyber unit has been appointed as the agency’s chief litigation counsel. In the lofty role, Tenreiro will supervise the lawsuits and investigations within the Division of Enforcement that provide the backbone of the SEC’s regulatory work across industries.
Tenreiro’s Path to Leadership
Joining the SEC’s crypto assets and cyber unit as deputy chief in October 2022, Tenreiro rapidly rose to take the helm of the division when his predecessor, David Hirsch, left the agency in mid-2023. Under his tenure, the crypto unit launched several high-profile enforcement actions, including lawsuits against major exchanges such as Coinbase and Kraken, and a lengthy court fight with Ripple Labs.
His notable achievements included the record settlement of $4.47 billion from Terraform Labs and its former CEO, Do Kwon, in what became the largest settlement in the history of the SEC. This historic settlement showcased Tenreiro as an aggressive enforcer within the financial world.
A Controversial Figure
Tenreiro’s hard-nosed approach to crypto enforcement has earned him praise and criticism in equal measure. Observers within the industry applaud him for holding players in an unregulated market to account, while critics such as crypto lawyer John Deaton claim that he has overplayed his hand, stifling innovation.
His name is also associated with controversial cases, such as the SEC’s lawsuit against Terraform Labs and the accusations of misconduct during the agency’s probe into crypto firm Debt Box that forced two SEC attorneys to resign.
A New Leadership Landscape
Tenreiro’s appointment comes amid broader changes at the top of the SEC. Laura D’Allaird and Mark Sylvester have been appointed co-chiefs of crypto assets and cyber, a role previously held by Tenreiro.
Meanwhile, Tenreiro’s elevation to the position comes amid the most politically charged era and possible regulatory changes under a new administration. President-elect Donald Trump’s promise to scale back scrutiny of the crypto industry could go a long way in determining the tone for the SEC’s enforcement agenda.
By taking up the mantle, Tenreiro will be positioned at the fulcrum point to dictate not just the SEC’s enforcement game but probably that of crypto regulation in the United States.
