As soon as the US Presidential election dust began to settle the new regime got to work. A 12-man Covid-19 commission is getting ready to work and the new administration is not wasting time either when it comes to fiscal matters.
Former Obama Aide to Aid Smooth Transition
President-elect Joe Biden has included Gary Gensler, the former chair of the Commodity Futures Trading Commission as part of his transition team. An announcement by the Biden-Harris transition team said that the former CFTC chair had volunteered to lend a helping hand to the new administration. Gensler, who is a crypto enthusiast, has now been given a leading role in ensuring a smooth transition with the Federal Reserve (FED), banking and securities regulators.
As the new regime settles in office, it needs some experience as it seeks to implement its new mandate. Former CTFC head Gensler offers experience and expertise having served under President Obama between 2009 and 2014. He made a name for himself for being a stringent regulator that oversaw sweeping reforms to the $400 trillion financial derivatives market.
Crypto regulation Already Underway
The inclusion of Gensler in the transition team makes sense given that the new regime has some pro-crypto elements to it. The transitional financial team has already stated that crypto needs regulation to grow. The new team has made it clear that investors need to be protected from market manipulation, and has pushed for Initial Coin Offerings to be seen as securities. If their recommendations are taken up, then ICOs will be under the purview of the Securities and Exchange Commission.
Gensler currently serves as a senior advisor at the MIT Media Lab’s Digital Currency Initiative. The group researches on the Blockchain with a view of facilitating development and adoption of the technology. Though the US election results are still being contested by the incumbent, the newly elected president has hit the ground running. It’s all systems go as he awaits his inauguration in about two months’ time.
Image Courtesy of Pexels