- Hill has long criticized Gensler’s handling of crypto issues
- He urged the Senate to advance FIT21, with CFTC oversight for spot crypto exchanges
In 2024, the cryptocurrency landscape has so far made significant headlines. In fact, it has played a crucial role in the upcoming presidential elections and is also influencing the Securities and Exchange Commission’s (SEC) approach to digital assets.
Is Gensler’s position at stake?
Amid the rise of crypto adoption and the current SEC Chair Gary Gensler’s anti-crypto stance, Representative French Hill, who is vying for the chairmanship of the House Financial Services Committee, recently shared his thoughts on the future leadership of the SEC.
Speaking on the latest edition of the Unchained podcast, Hill commented,
“Hester Peirce would always be my recommendation to become Chair.”
Here, Hill is referring to Hester Maria Peirce, an American lawyer currently serving as a Commissioner of the SEC.
Hill explained that despite Gensler’s qualifications, his approach to innovation, capital formation, and digital assets has been disappointing for the crypto community.
Specifically, Hill criticized Gensler for delaying the approval of Bitcoin [BTC] and Ethereum [ETH] exchange-traded products (ETPs), an issue that required federal court intervention. At the time, the courts labelled this process as,
“Arbitrary and capricious!”
Why does Rep. Hill appreciate the FIT21 bill?
Furthermore, during the conversation, Rep. Hill discussed the progress and challenges of cryptocurrency legislation in the United States.
Appreciating the comprehensive FIT21 bill, which passed the House with bipartisan support, the legislator claimed that it addresses regulatory issues related to stablecoins and digital assets. He added,
“We’ve made that kind of progress in less than a year.”
He also acknowledged the Senate’s efforts, including Senators Boozman, Lummis, and Gillibrand. However, Hill criticized the Senate Banking Committee’s slow progress.
Additionally, he stressed the need for clearer regulations and bipartisan cooperation and urged the Senate to,
“Use the few remaining days we have here in this Congress to help move this legislation.”
Why does CFTC oversight for spot crypto exchanges make sense?
Finally, to make things more transparent, he also suggested the potential move to assign oversight of spot cryptocurrency exchanges to the Commodity Futures Trading Commission (CFTC).
Now, this idea has been controversial within many quarters of the crypto industry. However, according to Hill, after extensive discussion and hearings, CFTC is the appropriate authority for this oversight. Particularly since the likes of BTC and ETH are widely considered to be commodities.
