Brian Quintenz declined to say whether or not he helps sustaining a bipartisan steadiness on the Commodity Futures Buying and selling Fee throughout a Senate nomination listening to on Tuesday, avoiding a key query from lawmakers weighing his potential return as chair.
Quintenz, a former commissioner on the Commodity Futures Buying and selling Fee (CFTC) and US President Donald Trump’s nominee to chair the company, addressed a number of questions on his potential coverage stance on crypto if confirmed as the brand new head of the company.
Senators Tina Smith of Minnesota and Raphael Warnock of Georgia pressed him about whether or not he would make suggestions to Trump in help of getting each Democratic and Republican commissioners on the CFTC. Quintenz prevented a direct reply, steering the dialog towards his expertise.
The legislation requires that not more than three CFTC commissioners belong to the identical political occasion. As of Tuesday, solely two commissioners — appearing chair Caroline Pham and Kristin Johnson — have been serving on the company, however each are anticipated to depart if Quintenz have been to be confirmed and doubtlessly later in 2025.
Smith known as Quintenz’s reply “disappointing.”
On the time of publication, it was unclear whether or not Quintenz would have sufficient help within the Senate for his nomination to advance by way of the committee and be thought-about within the full chamber.
The make-up of the CFTC, as one in every of two vital US monetary regulators, may have a serious function in overseeing digital belongings as Congress considers laws to ascertain a digital asset market construction framework.
Associated: Empty seats may hamper CFTC’s capability to control crypto
Although many questions on the listening to centered on prediction markets and the way Quintenz would handle regulatory points as chair, Alabama Senator Tommy Tuberville requested the potential commissioner about his experiences coping with debanking by way of his function on the enterprise capital agency Andreessen Horowitz, the place he labored after leaving the CFTC in 2021.
“I do know, from private expertise, that there have been investments that our agency was making an attempt to make within the small groups, and our agency couldn’t even ship them a verify,” mentioned Quintenz. “As a result of they couldn’t open a checking account as a result of they have been within the crypto trade.”
CLARITY Act may change how the CFTC and SEC regulate crypto
Quintenz additionally mentioned the federal company would seemingly want extra sources and employees if Congress have been to move laws giving it extra authority over digital belongings. He weighed in on the crypto market construction invoice — the CLARITY Act — being thought-about within the Home of Representatives and the way the CFTC may operate underneath a framework granting it extra energy to control digital belongings.
“As crypto belongings and blockchain know-how evolves and turns into decentralized, it permits networks to type and that governance course of to be launched exterior of the management of a person particular person or an entity or a enterprise and be distributed in a clear approach, that poses new and fascinating questions from a regulatory perspective,” mentioned Quintenz, including:
“I do consider that if Congress decides to present authority to the CFTC to control spot digital commodity markets solely, with readability, I feel the CFTC is greater than up for that mandate and that mission.”
Quintenz’s remarks echoed the sentiment of his ready testimony. The potential CFTC chair has disclosed positions in cryptocurrency and market corporations, which may create conflicts of curiosity if he have been to be confirmed by the Senate. He pledged to resign from all positions and divest from sure belongings inside 90 days of his affirmation.
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