The Biden-Harris transition team confirms that Gary Gensler will lead the agency review for the Federal Reserve, Banking, and Securities Regulators group.
Gensler was the Commodity Futures Trading Commission (CFTC) chairman under Barack Obama’s term. At this time, Gensler led the effort to pass and implement comprehensive derivatives rules. In detail, these led to the reform of a $400 trillion swaps market, crucial during the 2008 financial crisis.
Now, Gensler is a prominent faculty member at MIT’s business school. Moreover, he is the Senior Advisor to the MIT Media Lab Digital Currency Initiative. Prior to his teaching career, Gensler has been vocal about his views regarding cryptocurrency regulations.
In 2018, he talked about “Cryptocurrencies: Oversight of New Assets in the Digital Age.” Here, he pointed out that,
It is important to ensure that blockchain technology, cryptocurrencies, and crypto exchanges do not undermine financial stability, in normal times, or in stressful economic times.
He clearly explained that,
Regardless of whether the Libra Reserve is regulated as a pooled investment vehicle or a bank, it’s important that there are clear investment restrictions on how the underlying assets are managed.
To clarify, Libra intends to be a stablecoin, with its value pegged to sovereign currencies and government bonds.
Gensler is ready to serve a new administration after earning significant financial background from working with Hillary Clinton and at Goldman Sachs.