The Donald Trump Administration has formed a new advisory team, the Innovation Advisory Committee (IAC), filled with crypto and traditional finance leaders to help drive American innovation.
On the 13th of February, the Commodity Futures Trading Commission (CFTC) unveiled the members of the Innovation Advisory Committee (IAC).
Players from the crypto industry include Coinbase’s Brian Armstrong, Uniswap’s CEO Hayden Adams, Ripple’s Brad Garlinghouse, Chainlink Labs’ Sergey Nazarov, and Solana’s Anatoly Yakovenko, among others.
On the prediction markets segment, Polymarket founder Shayne Coplan and Kalshi’s Tarek Mansour. Additionally, leaders from sport betting platforms FanDuel and DraftKings were tapped.
On the traditional finance side, Depository Trust and Clearing Corporation (DTCC) CEO Frank LaSalla, London Stock Exchange CEO David Schwimmer, Nasdaq CEO Adena Friedman, and others.
CFTC’s end-game
Academic and interest group representatives are also part of the team to provide a balance on tech updates and breakthroughs. According to CFTC chair Mike Selig, this was an ‘energizing moment’ for the regulator, adding that,
“The IAC’s work will help ensure the CFTC’s decisions reflect market realities so the agency can future-proof its markets and develop clear rules of the road for the Golden Age of American financial markets.”
Selig added that the committee will help CFTC formulate adaptive regulations for new breakthroughs in blockchain and AI that are transforming financial markets. He added,
“By bringing together participants from every corner of the marketplace, the IAC will be a major asset for the Commission as we work to modernize our rules and regulations for the innovations of today and tomorrow.”
Great for DeFi and broader crypto?
It’s worth noting that Selig first signaled the move in late January, calling for ‘fit-for-purpose’ regulation of new technologies disrupting financial markets.
Interestingly, the update also comes at a crucial time for prediction markets. The regulator recently withdrew a Biden-era rule that banned event contracts tied to sports and political activities.
Selig said the move was the agency’s ‘commitment to lawful innovation,’ underscoring the pro-crypto and pro-innovation pivot under the Trump Administration.
Reacting to the latest IAC update, Uniswap’s Hayden Adams said,
“Last admin’s CFTC only wanted to talk via subpoenas and enforcement. And lots of builders on this IAC! A great sign for the future of the agency.”
Similarly, Chainlink Labs’ Nazarov echoed Adams’ enthusiasm and expected the move to be bullish for tokenization, DeFi, and crypto overall.
Final Thoughts
- CFTC chair forms an advisory team to help prepare the agency to form adaptive regulations.
- Crypto leaders viewed the move as positive for the industry and a U-turn from the previous administration’s enforcement actions.
