Two key positions in U.S. crypto oversight are advancing this week in the Senate as the chamber sets up a list of dozens of nominees they’ll consider for confirmation all at once, including Mike Selig to be chairman of the Commodity Futures Trading Commission and Travis Hill as chairman of the Federal Deposit Insurance Corp.
Senate Majority Leader John Thune started a process on Tuesday known as cloture in which the Senate preps a vote to clear the 60-member threshold actions typically required there. His resolution includes nominees for more than 80 federal positions (in some cases like Selig’s, one person for two roles). The eventual cloture vote is expected as soon as Thursday.
At a time when the CFTC is poised to assume a leading role in crypto oversight, Selig is on deck to be confirmed for a commission position as well as the chairmanship. Because he’d replace Acting Chairman Caroline Pham, who’s expected to leave the agency when he arrives, he’ll be the sole member of what’s meant to be a five-person commission, but the White House hasn’t yet moved to offer up any colleagues.
The U.S. derivatives regulator has already been pursuing a number of crypto policies, but if the Senate eventually completes its crypto market structure legislation, the agency would be further granted explicit authorities over the crypto markets.
At the FDIC, which will regulate stablecoin issuers and has a significant impact on how the crypto industry is banked, Hill has already been running the agency as an acting chairman. In that role, he’s taken a crypto-friendly posture.
“We undid the policy of the past few years,” he told lawmakers in a Dec. 2 hearing at the House Financial Services Committee, referring to a Biden administration era stance in which banking regulators told bankers that they needed approval from government supervisors before engaging in new crypto activity. “Banks are expected to manage the safety and soundness risk, but otherwise have no prohibitions to serving those those industries.”
Hill has occupied a leading role, too, in addressing crypto industry complaints over so-called “debanking” in which banks severed their relationships with crypto businesses and their executives, a situation that industry insiders and many of their Republican lawmakers allies say was encouraged by regulatory policy.
