In a significant development for the crypto venture capital firm Paradigm, the company's Chief Financial Officer (CFO), Nathan Apsel, and General Counsel, Reena Jashnani-Slusarz, are poised to step down from their roles this month. This announcement, conveyed through an internal company email, marks the culmination of their dedicated service, spanning over two years, during which Paradigm experienced remarkable growth.
During Apsel and Jashnani-Slusarz's tenure, Paradigm witnessed exponential expansion, doubling in size and launching its inaugural venture fund. The company also hosted its first-ever in-person LP Summit and significantly expanded its Legal and Finance teams. Alana Palmedo, Paradigm's Chief Operating Officer, expressed gratitude for their invaluable contributions, emphasizing how their efforts had contributed to shaping the firm's current stature.
While specific reasons for their departure remain undisclosed, insiders familiar with the matter suggest that Paradigm intends to maintain the strength of its legal team under the leadership of Chief Legal Officer Katie Biber. Biber, a member of the Paradigm family for over a year, will continue to oversee the legal department, ensuring a smooth transition.
In addition to these departures, Paradigm is gearing up to unveil its new CFO in the coming months. This strategic move underscores the company's commitment to sustaining its growth trajectory without compromising its workforce or making sweeping alterations to its overall operations. Recent additions to the policy team, including Alex Grieve and the appointment of Cookie Wiese as People Lead, further solidify Paradigm's dedication to expansion and improvement.
Last month, Paradigm made headlines by challenging the authority of the U.S. Securities and Exchange Commission (SEC) to regulate secondary markets for cryptocurrency assets. The company filed an amicus brief in support of cryptocurrency exchange Bittrex, contesting the SEC's efforts to extend its jurisdiction over crypto secondary markets.
In this legal document, Paradigm pointed out the stark differences between the SEC's claims against Bittrex and its previous actions against token sellers. The firm also criticized SEC Chair Gary Gensler for what it deemed an inconsistent stance on regulating secondary markets, highlighting his prior acknowledgment that the agency lacked such authority in 2021. Nevertheless, the SEC now seeks retroactive penalties against companies that have not complied with its evolving regulations.
Paradigm asserted that even if a cryptocurrency asset was initially sold in an initial coin offering (ICO), the SEC lacks a legal basis to argue that the asset itself constitutes an investment contract.