Mike Selig emerges as Top Candidate for CFTC Chair
Mike Selig, the chief counsel of the SEC’s Crypto Task Force, is now the frontrunner to lead the Commodity Futures Trading Commission (CFTC). Politico reports that selig is ahead in the private selection process. He has a strong background in crypto policy, having worked at Willkie Farr & Gallagher and as a law clerk to former CFTC Chair Chris Giancarlo.
The previous candidate, Brian Quintenz, was dropped by the White house after pressure from Tyler Winklevoss of Gemini.
The CFTC chair nomination is crucial because the CLARITY Act, which defines the market structure for digital assets, has passed in the House. This act treats most cryptocurrencies as commodities, giving the CFTC notable influence over crypto regulation. The SEC and CFTC have had differing views on crypto regulation,with the SEC treating most as securities and the CFTC seeing them as commodities. This difference has created uncertainty for the industry. The CLARITY Act aims to harmonize these views, reducing regulatory confusion.
Other candidates for the CFTC chair include Tyler Williams, Josh Sterling, Jill Sommers, and Caroline Pham. Pham,the current acting chair,has taken a pro-crypto stance. However, the CFTC chair nomination is crucial due to the CLARITY Act, which treats most cryptocurrencies as commodities, giving the CFTC significant influence over crypto regulation.
The CLARITY Act, passed in the House, categorizes digital assets into three buckets: commodities, investment contracts, and payment stables. This shift gives the CFTC more power over crypto regulation. The SEC and CFTC have had differing views on crypto, with the SEC treating them as securities and the CFTC seeing them as commodities. This has caused uncertainty for crypto businesses.The act aims to clarify these roles, reducing regulatory confusion.
Sen. Cynthia Lummis believes the act will pass in the senate by Thanksgiving. The U.S. government shutdown may delay this.Selig’s background in crypto regulation makes him a strong candidate to harmonize the two agencies. Stuart Alderoty, Ripple’s chief legal officer, supports Selig’s candidacy, stating he can reduce duplicative regulation. other candidates include Tyler Williams, Josh Sterling, Jill Sommers, and Caroline Pham.
