Latest news with #Quintenz
Yahoo
11-06-2025
- Business
- Yahoo
CFTC nominee Quintenz seeks to leverage crypto expertise
This story was originally published on Banking Dive. To receive daily news and insights, subscribe to our free daily Banking Dive newsletter. Brian Quintenz, the nominee to lead the Commodity Futures Trading Commission, emphasized the need for a comprehensive regulatory framework for crypto assets. In his prepared remarks for the Senate hearing Tuesday, he noted his plans to use his expertise in digital assets to develop regulations and execute any expanded mission. 'Congress should create an appropriate market regulatory regime to ensure that this technology's full promise can be realized, and I am fully prepared to use my experience and expertise to assist in that effort as well in executing any expanded mission should legislation pass into law,' Quintenz said in remarks prepared for his hearing, seen by Bloomberg. Quintenz, nominated by President Donald Trump to lead the CFTC, served as an agency commissioner during Trump's last term. Quintenz headed to venture-capital firm Andreessen Horowitz after his term ended, becoming an adviser in 2021. Since December 2022, he has led the firm's crypto unit. He is also a board member of financial exchange firm Kalshi and an advisory council member of If confirmed for the CFTC role, the crypto lobbyist said he plans to leverage his expertise while meeting international regulators to gain insights into approaches that have been successful. He touted blockchain as a 'horizontal technology' that can impact different sectors of the economy, not just financial services, according to The Block. 'Blockchain and crypto tokens are here to stay and will allow individuals to own their digital intellectual property, their digital identities, and the value of their contributions to networks,' Quintenz said, saying clear rules and market integrity are needed for maintaining U.S. leadership in blockchain innovation. The Trump administration is pushing for the Digital Asset Market Clarity Act, bipartisan legislation introduced May 29 by House Financial Services Committee Chairman French Hill, R-AR. The bill aims to establish a comprehensive regulatory framework for digital assets in the U.S., with significant expansion of the CFTC's authority. Typically, the CFTC has focused on derivatives and commodities enforcement rather than direct consumer-focused regulation. The act would make the CFTC a primary regulator for most of the crypto industry, and establish a clear distinction between the jurisdiction of the Securities and Exchange Commission and the CFTC. Quintenz has been nominated as a commissioner twice: first by President Barack Obama in 2016 and then by Trump in 2017, when he was confirmed and served from 2017 to 2021. His current nomination is his first for the chair position – the agency's leadership role. The commission, until the end of May, had four members, evenly divided between Republicans and Democrats. Former Commissioner Summer Mersinger, a Republican, announced in May that she would leave the CFTC at the end of that month to become the chief executive of the Blockchain Association. Christy Goldsmith Romero, a Democrat, days later announced her plans to leave the CFTC on May 31 and retire from federal service. Acting Chair Caroline Pham, a Republican, has said she would step down once Quintenz is confirmed to lead the regulator. Kristin Johnson, a Democrat, has also said she's leaving the CFTC later this year. Last month, Quintenz disclosed assets worth roughly $3.4 million and his positions in some important crypto industry groups, according to Bloomberg. If confirmed, Quintenz plans to resign from his position at Kalshi and forfeit his stock options, which vest every month. He would abstain for a year on matters related to Kalshi. In May, the CFTC dismissed its appeal in litigation over Kalshi's event contracts for political outcomes, including options to bet on Republican and Democratic presidential nominees in 2028. The CFTC had said the decision to drop the case was voluntary. Quintenz would also resign from his post at Andreessen Horowitz and recuse himself from participating in any event related to the company for two years, if confirmed to the CFTC. He has already resigned from his position with the Crypto Council for Innovation. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
11-06-2025
- Business
- Yahoo
Trump's CFTC Pick Troubles Tribes With Prediction Market Plans
Tribal groups are concerned Kalshi, Robinhood and pose an existential economic threat to them through sports prediction markets—and on Tuesday, it became even more clear the Commodity Futures Trading Commission (CFTC) isn't coming to their rescue. CFTC chairman nominee Brian Quintenz made his pro-market stance apparent while speaking in front of the U.S. Senate Committee on Agriculture, Nutrition and Forestry at a Tuesday confirmation hearing. Quintenz told senators the CFTC has a 'very clear' mandate to permit the sports event futures contracts that financial technology companies have offered nationwide since the start of the year, despite state and tribal objections. More from Yasiel Puig Sports Betting Guilty Plea Overturned by Federal Court Robinhood's Sports Prediction Markets Are a Hook for Wider Play ESPN Bet Faces Make-or-Break Year for $2 Billion Disney-Penn Deal Unless Congress steps in with a new law, Quintenz said, 'I need to abide by the Commodity Exchange Act.' The CFTC's exclusive regulatory authority for sports event contracts under the Commodity Exchange Act is being challenged in court by multiple states; those states, like many tribal groups, call the markets an illegal sports betting equivalent that circumvents state taxes and other regulations. While no tribal group has filed a related lawsuit to date, more than a dozen have petitioned the CFTC to shut down sports prediction markets in their regions. Quintenz, a Kalshi board member, suggested unhappy tribal groups could compete with the new sports prediction markets by launching their own. But gaming exclusivity is the very right tribes are desperate to preserve in states where sportsbook operators such as DraftKings and FanDuel are banned. 'Nothing in the CEA that I'm aware of prohibits or affects the opportunity of tribes to offer those [prediction market products],' Quintenz said in response to a question from Democrat Sen. Adam Schiff of California. President Donald Trump's agency pick said he would 'listen to the concerns of the tribes' raised by Schiff and reschedule a public roundtable discussion canceled without explanation in April by acting chair Caroline Pham. He said he did not have any information about why the original discussion was nixed. 'We respect Tribal Nations and their inherent sovereignty,' a Kalshi spokesperson wrote in an email after Quintenz's hearing. 'The Commodity Exchange Act does not restrict Tribes from engaging in gaming activities on their reservations or within the states where they operate, consistent with applicable laws. We have had productive conversations with several Tribes and are hopeful to build collaborative partnerships in the future.' Amid conflict-of-interest concerns given his Kalshi ties, Quintenz wrote in a pre-hearing letter to the CFTC that he would step down from the company's board and divest stock upon being confirmed to lead the federal agency. He said he would recuse himself from matters involving Kalshi. In Tuesday's hearing, Quintenz told U.S. Sen. Amy Klobuchar (D-Minn.) that the CFTC would appoint a 'screener' in his office 'to make sure no matter inappropriately comes before me.' The current makeup of the CFTC strains the logic of his proposed strategy. If confirmed by the Senate, Quintenz would be the only commissioner at the CFTC, with the four other slots unfilled after a spate of resignations and retirements. It is unclear, then, who else right now could regulate the rise of Kalshi and similar companies that offer sports event futures. Departing commissioner Christy Goldsmith Romero, a Democrat, last month called the pending one-person CFTC leadership structure 'a disservice to regulation.' But Quintenz said several times in his hearing that he would not explicitly urge the president to nominate candidates from both political parties to be CFTC commissioners in accordance with agency rules—or ask that empty agency spots be filled at all. 'I don't tell the president what to do,' Quintenz said to U.S. Sen. Raphael Warnock (D-Ga.). Interim CFTC chair Pham has not taken a vocal stance on sports prediction markets since being named to the post in January. The agency has been hands-off toward Kalshi and other exchanges—a full turn from how things went during Joe Biden's presidency when the agency fought Kalshi in court over its election contracts. It dropped an appeal in the Kalshi election contract case after Pham took over for Biden-era CFTC chair Rostin Behnam. Quintenz has long argued that sports event contracts are a legitimate financial hedging tool that provide an opportunity for 'risk management, price discovery and price dissemination.' His claims date back to his stint as a CFTC commissioner from 2017-2021. During Tuesday's hearing, Quintenz repeated many of his talking points from a 2021 speech to the Federalist Society in which he said the CFTC has no right to inhibit sports prediction markets under the Commodity Exchange Act. The U.S. Senate Committee on Agriculture, Nutrition and Forestry will vote on whether to recommend Quintenz for full Senate approval. Then, the Senate will hold a final vote on Quintenz's nomination. Best of Most Expensive Sports Memorabilia and Collectibles in History The 100 Most Valuable Sports Teams in the World NFL Private Equity Ownership Rules: PE Can Now Own Stakes in Teams
Yahoo
10-06-2025
- Business
- Yahoo
Trump's Pick to Run CFTC Touts Work in Crypto to Lawmakers
(Bloomberg) -- Brian Quintenz, President Donald Trump's pick to lead the US Commodity Futures Trading Commission, told lawmakers he is uniquely qualified to head the derivatives regulator as Congress considers giving it more authority over digital assets. Trump's Military Parade Has Washington Bracing for Tanks and Weaponry NYC Mayoral Candidates All Agree on Building More Housing. But Where? NY Long Island Rail Service Resumes After Grand Central Fire Senator Calls for Closing Troubled ICE Detention Facility in New Mexico California Pitches Emergency Loans for LA, Local Transit Systems The crypto lobbyist and former CFTC commissioner said he is well versed in not just the policy issues that affect farmers and ranchers using futures to hedge price risks but also emerging technologies like blockchain and cryptocurrency. 'Congress should create an appropriate market regulatory regime to ensure that this technology's full promise can be realized, and I am fully prepared to use my experience and expertise to assist in that effort as well in executing any expanded mission should legislation pass into law,' he told lawmakers. The CFTC oversees the multitrillion-dollar derivatives market, financial products that help businesses hedge against price swings in everything from corn to cocoa to foreign currency. The agency's powers could expand if Congress passes legislation to regulate the crypto market, with the CFTC potentially overseeing what's called spot markets for Bitcoin and other digital assets that don't qualify as securities. A House bill calls on the CFTC to work with the US Securities and Exchange Commission on joint rulemaking to hash out details. 'As Congress considers new spot market regulatory authority over the crypto asset markets, I am fully prepared to provide the benefit of this experience to the members of this committee and to Congress as a whole,' he said. Quintenz served as a CFTC commissioner from 2017 to 2021. His career after departing the agency has focused on two industries — crypto and predictions markets. He is global head of crypto policy at a16z, the crypto arm of venture capital fund Andreessen Horowitz, and will resign if confirmed, according to ethics disclosures. He faced questions on Tuesday about his ability to police the prediction markets given his seat on the board of a company that waged a long-running legal battle with the agency. 'I hope you can appreciate that there will be some real questions to your independence in that role,' Senator Cory Booker said at the hearing. 'I can certainly understand,' Quintenz said, who currently serves on the board of directors of Kalshi Inc., the prediction markets platform that lets users place bets on topics as diverse as the winner of the French Open and whether Sabrina Carpenter will have a No. 1 hit this year. If confirmed, Quintenz said he will resign from the firm. Kalshi and the CFTC have clashed over the legality of allowing Americans to bet on the outcomes of elections, but the agency in May asked a court to settle its fight with the firm. Quintenz said he would recuse himself for a year on matters related to Kalshi if he is confirmed. He also said he would bow out of matters relating to Andreessen Horowitz Capital Management or its funds for two years unless he receives a waiver. Quintenz is set to helm an agency in upheaval. Two commissioners departed at the end of May and the two remaining — Acting Chairman Caroline Pham and Commissioner Kristin Johnson — are planning their exits. The regulator is also dealing with the fallout from being forced to drop a high-profile fraud case against an online trading platform. --With assistance from Lydia Beyoud. (Updates with additional details beginning in seventh paragraph.) New Grads Join Worst Entry-Level Job Market in Years American Mid: Hampton Inn's Good-Enough Formula for World Domination The SEC Pinned Its Hack on a Few Hapless Day Traders. The Full Story Is Far More Troubling Cavs Owner Dan Gilbert Wants to Donate His Billions—and Walk Again What America's Pizza Economy Is Telling Us About the Real One ©2025 Bloomberg L.P. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
10-06-2025
- Business
- Yahoo
Trump's Pick to Run CFTC Touts His Career in Crypto to Lawmakers
(Bloomberg) -- Brian Quintenz, President Donald Trump's pick to lead the US Commodity Futures Trading Commission, plans to tell lawmakers he is uniquely qualified to head the derivatives regulator as Congress considers giving it more authority over digital assets Next Stop: Rancho Cucamonga! Trump Said He Fired the National Portrait Gallery Director. She's Still There. Where Public Transit Systems Are Bouncing Back Around the World NYC Mayoral Candidates All Agree on Building More Housing. But Where? US Housing Agency Vulnerable to Fraud After DOGE Cuts, Documents Warn The crypto lobbyist and former CFTC commissioner will say he is well versed in not just the policy issues that affect farmers and ranchers using futures to hedge price risks but also emerging technologies like blockchain and cryptocurrency. 'Congress should create an appropriate market regulatory regime to ensure that this technology's full promise can be realized, and I am fully prepared to use my experience and expertise to assist in that effort as well in executing any expanded mission should legislation pass into law,' he said in prepared remarks for a Senate confirmation hearing Tuesday. The CFTC oversees the multitrillion-dollar derivatives market, financial products that help businesses hedge against price swings in everything from corn to cocoa to foreign currency. The agency's powers could expand if Congress passes legislation to regulate the crypto market, with the CFTC potentially overseeing what's called spot markets for Bitcoin and other digital assets that don't qualify as securities. A House bill calls on the CFTC to work with the US Securities and Exchange Commission on joint rulemaking to hash out details. 'As Congress considers new spot market regulatory authority over the crypto asset markets, I am fully prepared to provide the benefit of this experience to the members of this committee and to Congress as a whole,' he said. Quintenz served as a CFTC commissioner from 2017 to 2021. His career after departing the agency has focused on two industries — crypto and predictions markets. He is global head of crypto policy at a16z, the crypto arm of venture capital fund Andreessen Horowitz, and will resign if confirmed, according to ethics disclosures. He also plans to step down from the board of directors of Kalshi Inc., the prediction markets platform that lets users place bets on topics as diverse as the winner of the French Open and whether Sabrina Carpenter will have a No. 1 hit this year. Kalshi and the CFTC clashed over the legality of allowing Americans to bet on the outcomes of elections, but the agency in May asked a court to settle its fight with the firm. Quintenz said he would recuse himself for a year on matters related to Kalshi if he is confirmed. He also said he would bow out of matters relating to Andreessen Horowitz Capital Management or its funds for two years unless he receives a waiver. If confirmed, Quintenz will helm an agency in upheaval. Two commissioners departed at the end of May and the two remaining — Acting Chairman Caroline Pham and Commissioner Kristin Johnson — are planning their exits. The regulator is also dealing with the fallout from being forced to drop a high-profile fraud case against an online trading platform. --With assistance from Lydia Beyoud. New Grads Join Worst Entry-Level Job Market in Years The SEC Pinned Its Hack on a Few Hapless Day Traders. The Full Story Is Far More Troubling What America's Pizza Economy Is Telling Us About the Real One Cavs Owner Dan Gilbert Wants to Donate His Billions—and Walk Again America Cast Itself as the World's Moral Leader. Not Anymore ©2025 Bloomberg L.P. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Politico
10-06-2025
- Business
- Politico
A Wall Street regulator in turmoil
Presented by Editor's note: Morning Money is a free version of POLITICO Pro Financial Services morning newsletter, which is delivered to our subscribers each morning at 5:15 a.m. The POLITICO Pro platform combines the news you need with tools you can use to take action on the day's biggest stories. Act on the news with POLITICO Pro. QUICK FIX It was supposed to be one of the hottest regulatory jobs in President Donald Trump's administration. Now, Brian Quintenz — a former Wall Street regulator who has been tapped to lead the small but powerful Commodity Futures Trading Commission — is preparing to take over an agency in disarray. The CFTC is still primed to break out of obscurity as a major financial rulemaker in the years ahead under Trump. Lawmakers are moving to hand the agency new authority over cryptocurrency trading that will expand its jurisdiction well beyond traditional financial derivatives products linked to the prices of cattle, orange juice and financial indexes. And that's on top of its role in overseeing increasingly popular though contentious betting markets. But a string of departures is presenting a test for Quintenz's chairmanship even before he gets in the building — stoking concerns about what he'll be able to do atop the agency. The CFTC's two remaining commissioners plan to leave the agency this year, potentially leaving Quintenz as the sole member of the normally five-person commission. What's more, the agency was recently sanctioned in court over how it handled a 2023 case, in which it had alleged 'a large-scale fraud scheme,' drawing a rebuke from its own acting chair, Caroline Pham. And the House's fast-moving proposal for divvying up oversight of crypto markets is worrying some officials, lobbyists and executives that the derivatives watchdog could wind up taking a backseat to its big brother, the Securities and Exchange Commission. (Lawmakers are set to mark up the bill today.) 'He's walking into a clusterfuck,' a former Wall Street regulator, who was granted anonymity to speak candidly, told MM. Quintenz, a former CFTC commissioner, is set to appear before the Senate Agriculture Committee later today for his confirmation hearing. He did not respond to a request for comment. As chair, he'd be expected to pursue a deregulatory agenda focused at least in part on fostering newer markets and innovations like crypto. And for many long-time agency officials, he's squarely built to handle the moment. 'If there's anybody who's up to that challenge, it's Brian,' said Josh Sterling, a former CFTC official and partner at Milbank who was in the mix to chair the agency under Trump. 'He's one of the most genial and respectful people you'll ever meet in public service, and I think he has some pretty fixed ideas about what he wants to do, as any leader would.' Pham and CFTC Commissioner Kristin Johnson are expected to depart, and some observers question how far the agency would be able to go under a single-person commission. But former CFTC General Counsel Dan Davis, who worked at the agency during the first Trump administration, said all signs point to a lone commissioner being able to legally act on behalf of the commission even if they are its only member. Still, Quintenz is facing potential headaches from Capitol Hill. The House's proposed bill outlining how crypto should be regulated in the U.S. contains a provision that would allow certain SEC-registered firms to deal in a limited amount of digital assets activity that would otherwise fall under the CFTC's authority without registering with the derivatives watchdog. GOP committee aides with knowledge of the bill told reporters Monday that the section is designed to provide SEC-registered firms that don't deal with the CFTC the ability to conduct a small amount of crypto activity. For some lobbyists and officials, however, the provision represents a potentially slippery slope toward handing the SEC jurisdiction over CFTC markets. One person familiar with the deliberations told MM they were concerned it could undercut the bill's push to give the CFTC more funding to set up its new oversight of crypto. They also questioned how active the CFTC was in helping lawmakers and staff draft the bill. 'The SEC is fully mobilized and marching forward, and [the CFTC is] doing nothing,' said the person, who was granted anonymity to discuss the dynamics. 'That's not a good thing.' The CFTC pushed back on the idea that the agency did not actively provide assistance on the bill, with a spokesperson saying in a statement that career staff provided feedback that Pham, as acting chair, reviewed and approved to make sure it aligned with the administration's goals. GOP committee aides also said the CFTC was engaged in the process, saying the legislation is the product of years of work that has crossed administrations. But while other regulators are already knee deep in devising their crypto agendas for the coming years, the CFTC is still waiting on Quintenz — and he appears to be itching to get in, too. 'We are at the precipice of a golden age for innovation, for our derivatives markets, and for the CFTC,' he said in his prepared testimony. IT'S TUESDAY — What are you watching for in Quintenz's appearance before Senate Ag today? Let me know: dharty@ And as always, for tips, suggestions and personnel moves, you can reach Sam at ssutton@ Driving the day The NFIB's Small Business Optimism Index is out at 6 a.m. … Housing and Urban Development Secretary Scott Turner testifies at House Appropriations at 10 a.m. … House Financial Services holds a markup on crypto market legislation at 10 a.m. … Senate Foreign Relations holds a hearing on the nominations of Jacob Helberg to be undersecretary of State for economic growth, energy and the environment; Andrew Puzder to be U.S. representative to the European Union; Paul Kapur to be assistant secretary of State for South Asian affairs and Benjamin Black to be CEO of the U.S. International Development Finance Corp. at 10 a.m. …. Senate Agriculture holds a hearing on Quintenz's nomination for CFTC chair at 3 p.m. Can I get a deal on that? — While President Donald Trump is publicly sticking by his 25 percent tariffs on foreign cars, major U.S. trading partners such as the European Union, Japan and South Korea 'are laboring under the impression that the auto tariffs, which Trump imposed in April, are still on the table' of trade negotiations, Daniel Desrochers and Megan Messerly report. — 'If Trump is really unwilling to lower or eliminate his tariffs on foreign cars, it could prove to be a major hurdle to securing meaningful trade deals with some of the country's top trading partners. Japan, South Korea and Germany sold more than $121 billion in cars and car parts in the U.S. in 2024,' they report. T-minus 24 days — House Speaker Mike Johnson is not backing down from the Republicans' self-imposed July 4 target for passing Trump's 'big, beautiful bill,' Gregory Svirnovskiy reports. More crypto news — As Quintenz heads to Capitol Hill and House lawmakers prepare to mark up their proposed market structure legislation, Republicans hope to push through landmark legislation this week setting up a regulatory framework for stablecoins — crypto tokens whose value is tied to assets like the U.S. dollar, Jasper Goodman and Jordain Carney report. ICYMI: The stealth Senate dealmaker who could deliver Trump's tax cuts by Benjamin Guggenheim At the regulators 'Security weaknesses' — Four of Wall Street's biggest industry groups are calling on regulators to beef up their cybersecurity, Michael Stratford reports. In the wake of a massive hack of the Office of the Comptroller of the Currency's email system, the American Bankers Association, Bank Policy Institute, Managed Funds Association and the Securities Industry and Financial Markets Association wrote to Treasury Secretary Scott Bessent that they are 'deeply concerned' about agencies' cyber protections. DOJ shrinks anti-bribery unit — The Justice Department has more than halved its team focused on enforcing anti-bribery laws to 15 prosecutors, Reuters reports. Earlier this year, Trump signed an executive order pushing for a pause in enforcing the decades-old law that bars U.S. companies from using bribes to conduct business overseas. On The Hill Dems want a committee vote — 'Democrats on the Senate Banking Committee are pressing Chair Tim Scott to hold a vote on the panel's portion of the GOP's 'big, beautiful' reconciliation bill, writing in a letter to the South Carolina Republican that he should 'immediately schedule a markup' on the legislation,' Jasper reports. Crypto Paraguayan president's posting problems — From Bloomberg's Ken Parks: 'Paraguayan President Santiago Peña deleted a post on his X account after a likely hack by crypto scammers who claimed the South American nation had approved Bitcoin as legal tender.' A crypto arrest — 'Federal prosecutors in Brooklyn have charged the founder of a U.S.-based cryptocurrency payments firm with operating what they allege was a sophisticated international money laundering scheme that moved over half a billion dollars on behalf of sanctioned Russian banks and other entities,' CNBC's MacKenzie Sigalos reports. Jobs report Kevin McKinley has joined Andreessen Horowitz's government affairs team to lead the venture firm's state-level policy efforts. McKinley, who previously managed Meta's legislative policy team in California, is a16z's first government affairs hire to focus solely on state-level policy. Michelle Bowman was officially sworn in as the Federal Reserve's new vice chair for supervision on Monday, the central bank announced. Former SEC official Brad Bondi — a partner at Paul Weiss and Attorney General Pam Bondi's brother — lost his bid to lead the D.C. bar association, per Bloomberg Law's Tatyana Monnay. Investment banking titan Ken Moelis is stepping down from his eponymous firm, per the WSJ's Lauren Thomas.
