Michael Selig’s Upcoming Hearing
Michael Selig, currently the chief counsel for the crypto task force at the U.S. Securities and Exchange Commission (SEC), is set to undergo scrutiny next week as senators will question him in a hearing related to his nomination as the chair of the Commodity Futures Trading Commission (CFTC). On Tuesday, the U.S. Senate Agriculture Committee updated its schedule, announcing that Selig’s hearing would take place on November 19.
Background on the Nomination
This announcement follows Selig’s recent confirmation on social media that he has been nominated by President Donald Trump to take over the chairmanship from Brian Quintenz, who was previously nominated before his hearings were abruptly halted in July.
The pause in Quintenz’s nomination hearings stemmed from an outcry over potential candidates backed by the Winklevoss twins, co-founders of cryptocurrency exchange Gemini. Quintenz allegedly provided evidence of private communications between himself and the Winklevoss brothers, which suggested that they were seeking specific guarantees regarding enforcement actions from the CFTC.
Current CFTC Leadership
Currently, Caroline Pham serves as the acting chair of the CFTC, but has been the only commissioner since September. Pham indicated her plans to exit the agency following the Senate’s decision on a new chairperson. If Selig gains confirmation, he could assume a crucial leadership role within one of the most prominent financial regulatory bodies in the nation.
Regulatory Updates on Digital Currencies
Regardless of Selig’s confirmation status, the CFTC is on the brink of extensive regulatory updates concerning digital currencies. Recently, the U.S. House of Representatives passed the CLARITY Act, a legislative measure intended to delineate jurisdiction between the CFTC and the SEC regarding cryptocurrencies. This bill is currently awaiting action from both the Senate Agriculture Committee and the Senate Banking Committee before it can proceed to a vote on the Senate floor.
Market Structure Bill Developments
On a related note, Senate Republicans on the agriculture committee released a draft of the market structure bill, facilitating the advancement of this legislation for the first time in several weeks. This is particularly significant amid ongoing disruptions caused by the government shutdown and recess, as the agriculture committee is primarily responsible for commodity laws and oversight of regulatory agencies like the CFTC, while the banking committee deals with securities and oversees the SEC.
