The Cannon Chancellor of St Paul's Cathedral has announced his resignation via Twitter following differences with his colleagues over the handling of the Occupy London Stock Exchange protest.
Seen as sympathetic to the protest, Fraser had opposed the use of legal action to evict the protesters.
"It is with great regret and sadness that I have handed in my notice at St Paul's Cathedral," he said.
Speaking to the Evening Standard, Fraser said: "I resigned because I believe that the Chapter has set on a course of action that could mean there will be violence in the name of the Church."
"The Church should not put its name to any course of action that may lead to violence against the protesters. I can't in conscience go down the road on which they are embarked."
"I care deeply for my colleagues at St Paul's and our discussions in the last few days have been incredibly thoughtful."
Cathedral officials said they are "disappointed" that Dr Fraser is leaving, reported the Press Association.
Minutes after Fraser's resignation was annouced, a group appeared on Facebook, called 'Save St. Paul's Canon Giles Fraser'. Fifty people joined the group within the first hour.
Fraser's resignation comes after the cathedral's dean, the Rt Rev Graeme Knowles, said that the cathedral could reopen on Friday after demonstrators agreed to make changes to the layout of their tents.
He said a final decision would be taken just after midday on Friday, and added that it was still possible legal action would be taken against the protest.
On Wednesday, the Dean said in a statement: "The staff team here have been working flat out with the police, fire brigade and health and safety officers to try to ensure that we have confidence in the safety of our worshippers, visitors and staff which will allow us to reopen."
He said the galleries and dome would remain closed and discussions with the police and fire brigade would continue.
He added: "We will revisit the risk assessment in the light of any overnight developments and subject to us getting the green light we hope to reopen in time for the 1230 Eucharist on Friday to which everyone is welcome."
Protester Tanya Paton told the Press Association: "It's tremendous that St Paul's have decided to reopen. We've have always wanted them to reopen and we've always been keen to resume dialogue with the Dean and Chapter."
The Dean's comments followed the City of London Corporation's announcement that it would meet to hear legal advice and decide whether to launch legal action to evict the protesters.
Reports from within the cathedral suggest that some members of the clergy are unappreciative of the increased pressure coming from the Corporation of London to have the protesters forcibly removed.
The Corporation is due to meet on Thursday to draw up plans for a possible eviction with a formal meeting scheduled for Friday to decide on the best course of action to bring about the end of the demonstration.
London Mayor Boris Johnson has called for new laws to stop the pitching of tent cities across the capital. "In the name of God and Mammon, go," he reportedly told the protesters.