Emily Walker
On Monday, Bitrabo revealed that President-elect Donald Trump was set to have a private conversation with Brian Armstrong, the CEO of Coinbase, an American cryptocurrency exchange. This meeting was anticipated to play a significant role in shaping cryptocurrency regulation in the U.S.
Armstrong Engages with Trump on Crypto Regulations
Fortune later clarified that the interaction was actually a phone call, not a private meeting as initially reported. During their conversation, Armstrong, whose company has contributed nearly $50 million to pro-crypto political candidates—including Trump—discussed broad issues affecting the crypto sector rather than detailing specific government positions.
There are also unconfirmed claims on social media suggesting that Brad Garlinghouse, the CEO of Ripple Labs, has had similar access to Trump. However, Ripple’s spokesperson confirmed that the company does not disclose private discussions.
Sources familiar with the Trump-Armstrong call noted that the cryptocurrency industry is particularly interested in potential key appointments for leadership at two critical financial regulatory bodies: the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC).
Potential Leaders for SEC and CFTC
According to a source cited by Fortune, “The SEC is where all the issues are arising,” in reference to the multiple lawsuits initiated by SEC Chairman Gary Gensler.
As Gensler is expected to step down by year-end, uncertainty looms over whether the SEC will quickly drop many cases that aren’t focused on fraud. The source suggested that an interim chair may not be motivated to take such action.
The CFTC could take on more responsibility in overseeing digital assets if legislative changes lead to the transfer of some regulatory authority from the SEC to the CFTC.
Fortune mentioned potential candidates for leading the CFTC, including current commissioner Summer Mersinger and Josh Sterling, a lawyer at Milbank who has extensive experience in the industry.
Image courtesy of DALL-E, chart sourced from TradingView.com