The United States is preparing for a new phase in the regulation of the fast-growing crypto market. The White House is looking for a key figure to guide future oversight. In addition, President Donald Trump has nominated an outspoken pro-crypto candidate for the chairmanship of the Commodity Futures Trading Commission (CFTC).
Trump chooses Michael Selig as CFTC chairman
President Donald Trump has named Michael Selig as his candidate to lead the CFTC. This American regulator plays a crucial role in regulating derivatives markets. This includes futures, contracts that allow investors to speculate on the future price of an asset.
The choice of Selig is beneficial for the crypto sector due to its active role in crypto regulations and its close cooperation with other regulators. His possible appointment is received positively within the community. Nevin Freeman, co-founder of stablecoin project Reserve, also expresses his support on X: “We are happy to hear that Michael Selig is the top candidate for the CFTC. He certainly has our support.”
What is Michael Selig like?
Selig currently serves as chief counsel for the Securities and Exchange Commission’s (SEC) crypto task force, where he serves as a top advisor to SEC executive Paul Atkins, who is also pro-crypto. In that role, he focuses primarily on policy coordination between the SEC and CFTC, especially at the intersection of crypto regulation. He was previously a partner at the law firm Willkie Farr & Gallagher, where he specialized in asset management.
Selig still must be approved by the Senate. It is still unclear whether he can count on sufficient support. His predecessor in the nomination, Brian Quintenz of investment fund a16z Crypto, previously withdrew after fierce criticism from the crypto industry. Tyler Winklevoss of crypto exchange Gemini, among others, expressed objections to his appointment.
CFTC gets more power over crypto
The US Congress is currently working on the so-called Clarity Act, a bill that should bring legal clarity to the crypto sector. The law distinguishes between digital assets that are classified as securities supervised by the SEC and assets that are considered commodities supervised by the CFTC, such as Bitcoin (BTC).
This new law will likely give the CFTC a leading role in regulating digital assets such as cryptocurrencies and tokens that are not classified as securities. In concrete terms, this means: fewer legal gray zones, fewer lawsuits, such as with Ripple, and more predictable rules for companies and investors.
Source: https://newsbit.nl/nieuwe-pro-crypto-koers-in-washington-trump-wil-michael-selig-aan-het-hoofd-van-cftc/
