Trump's CFTC Pick Says U.S. Can Boost Crypto Innovation and Shield Consumers

President Donald Trump's prime to beryllium president of the U.S. commodities watchdog, Brian Quintenz, fielded crypto questions much than immoderate different taxable astatine his Senate confirmation hearing connected Tuesday, and helium assured the lawmakers that the bureau tin locomotion a mediate crushed betwixt unhampered innovation and robust user safeguards.

Even arsenic Quintenz awaits the Senate Agriculture Committee's ballot connected whether to beforehand his information arsenic president of the Commodity Futures Trading Commission, Congress is working connected marketplace operation legislation that could elevate that bureau arsenic the marquee regulator of U.S. crypto activity. Quintenz, a erstwhile CFTC commissioner, is nary alien to that sector, having served arsenic task superior steadfast a16z's caput of policy.

"I person ever viewed marketplace operation authorities arsenic an accidental to beryllium some pro-customer extortion and pro-innovation astatine the aforesaid time," helium told the senators weighing his nomination, which yet needs to beryllium approved by the wide Senate earlier helium tin instrumentality implicit the commission. He said the measure could "provide the clarity to buildings, entrepreneurs, innovators to make products" portion besides ensuring the regulated firms are appropriately protecting the users of those products.

"Congress should make an due marketplace regulatory authorities to guarantee that this technology’s afloat committedness tin beryllium realized, and I americium afloat prepared to usage my acquisition and expertise to assistance successful that effort arsenic good successful executing immoderate expanded ngo should authorities walk into law," Quintenz said, adding that he's consenting to enactment nether the CFTC's existent powers "to supply clarity of however the agency’s statutory objectives could beryllium successfully leveraged done this technology."

Quintenz would articulation a committee that's being abandoned by commissioners. By statute, the CFTC has 5 members — with 3 from the enactment successful powerfulness — but the members person near oregon are successful the process of leaving, including Acting Chairman Caroline Pham, who said she's leaving erstwhile Quintenz starts work. The lone Democrat, Kristen Johnson, said she'll depart "later this year," leaving immoderate uncertainty astir her timing. So Quintenz whitethorn service other a azygous Democrat earlier yet moving unsocial for a time, leaving imaginable ineligible vulnerability for immoderate unilateral policies.

Some of the Democratic senators noted the Trump medication has been systematically stripping regulatory commissions of their Democratic members — described by Senator Raphael Warnock arsenic "political purges" — and asked Quintenz if helium would promote the White House to capable some sides of the roster.

"The president is the caput of the executive, and the president volition marque his ain decisions. Quintenz said. He aboriginal added, "I don't archer the president what to do."

He granted that the bureau whitethorn request much backing if it's assigned the monumental caller task arsenic the regulator of integer commodities spot markets, which would see transactions of bitcoin BTC. Quintenz said that caller unit would beryllium made much businesslike by "a technology-first approach" that makes the employees much efficient.

Quintenz besides fielded a fig of questions connected the prediction markets, different country he's had nonstop acquisition with arsenic a committee subordinate of Kalshi, which fought a ineligible conflict with the CFTC implicit the regularisation of lawsuit contracts. He defended specified lawsuit contracts arsenic an due "hedging tool."

"I judge the Commodity Exchange Act is precise wide astir the intent of derivatives markets, the intent of hazard absorption and terms discovery, and that events [contracts] tin service a relation successful that mandate," helium said.

Read More: Trump to Tap Former CFTC Commissioner, a16z Policy Head Brian Quintenz for CFTC Head