Biden to Pick Former CFTC Chair Gary Gensler as SEC Chairman: Report
Former chairman of the Commodity Futures Trading Commission (CFTC), Gary Gensler reportedly to be named as the Chairman of the Securities and Exchange Commission (SEC) for the incoming Biden administration. Gensler is best known for enforcing many new provisions for banks following the 2008 financial crisis. According to anonymous sources, Gensler is likely to lead the SEC, although, a final decision hasn’t been made and the nomination could still change. Neither Biden nor Gensler has made an official statement on the subject matter as of yet.
Former CFTC Chair Gary Gensler to Lead SEC
Shortly after Biden’s electoral win at the beginning of November 2020, Gensler became a leader in financial policy on Biden’s transition team. He also led Biden transition’s review of financial regulatory agencies, including the SEC and the Federal Reserve.
Gensler previously served in President Bill Clinton’s Treasury Department and as the chief financial officer of Hillary Clinton’s 2016 presidential campaign. Prior to that Gensler was an executive at Goldman Sachs Group Inc.
Gensler was leading the chair for the Commodity Futures Trading Commission (CFTC) from 2009 to 2014 during the Obama administration.
He spent the Trump era as a professor at the Massachusetts Institute of Technology (MIT), teaching courses on financial technology and digital assets. He would be the most crypto familiar person to head as the chairman of SEC, a move could be advantageous for the industry.
Previous Statements Indicates Gensler’s Support for Cryptocurrencies
Former SEC Chair, Jay Clayton was well known for pursuing initial coin offerings throughout his term. In his early tenure, the agency commission released its DAO Report, a declaration that digital assets could be securities, and hence would be subjected under SEC’s regulation.
Gensler had previously made statements indicating his support for cryptocurrencies. Testifying before Congress, Gensler stated that Bitcoin was a modern form of gold. He also believes that Facebook’s Diem meets the requirements for being classified as security.