Robinhood's Dan Gallagher bows out of contention for SEC chair

Former Wall Street regulator and Robinhood Chief Legal Officer Dan Gallagher said Friday he is not interested in taking over as SEC chair under President-elect Donald Trump.

Gallagher, who previously served at the SEC as a commissioner, was widely seen in Washington and on Wall Street as a leading contender to take over the top U.S. financial markets regulator under Trump.

"It is always an honor to have your name in the mix for an incredibly important job like SEC Chairman. However, I have made it clear that I do not wish to be considered for this position," Gallagher said in a statement. "I am committed to Robinhood and our millions of customers who represent the new generation of retail investors."

Other names that have circulated for SEC chair include Robert Stebbins, the agency's former general counsel; Paul Atkins, another former SEC commissioner; and Brian Brooks, the one-time acting comptroller of the currency and a former cryptocurrency executive.

Yet, in Gallagher's case, the question for many was whether he would want to leave Robinhood, a leading online brokerage. Gallagher said in his statement that he feels he "can make tremendous progress to democratize finance" in his current role.

"I will remain a vocal and consistent advocate for positive change in our markets," Gallagher said, adding that he is "excited to work with the incoming Trump Administration, including the next SEC Chairman and the SEC staff, to promote innovation and provide more opportunity for retail investors."