Hinman’s commentary on the status of cryptocurrencies and the Howey Test was particularly critical to regulation surrounding ICOs.
On Wednesday, the Securities and Exchange Commission (SEC) announced the departure of William Hinman by the end of this year.
Hinman joined the commission in 2017 and is currently the director of the SEC’s Division of Corporate Finance. He also spearheaded the SEC’s early work with digital assets, in which role he has made critical contributions to the discussion of which cryptocurrencies qualify as securities. The announcement says:
“Mr. Hinman led efforts regarding the rapid innovation in digital assets, including by providing a framework that market participants could use to evaluate whether digital assets are offered and sold as securities.”
The SEC’s 2018 launch of FinHub, which focuses on digital assets, was also seen as a Hinman initiative. Valerie Szczepanik, who began her term at the SEC as an advisor to Hinman, currently leads FinHub, in which role the industry has nicknamed her Crypto Czar.
Current Deputy Shelley Parratt will take over the reigns for Hinman on an acting basis upon his departure.