Despite facing criticism for lagging behind the United States in creating a more accommodating environment for cryptocurrency growth and adoption, China reaffirmed its stringent stance on crypto once again this week.
Authorities issued warnings about the alleged risks posed by stablecoins, particularly amid concerns that the US may have solidified its dollar dominance through these digital assets.
US GENIUS Act Vs. China’s Crypto Caution
According to local media reports, Pan Gongsheng, governor of the People’s Bank of China, announced plans to expand the use of the country’s central bank digital currency (CBDC), known as the “e-CNY.”
He remarked, “[Stablecoins] are still in their early stages of development,” emphasizing that financial regulators globally remain cautious about these assets, which are typically pegged to other currencies.
In the United States, however, Trump’s policies toward digital assets have resulted in the passage of the GENIUS Act, as the first crypto bill aimed at laying the framework for the adoption of these dollar-pegged cryptocurrencies.
Yet, Pan highlighted that stablecoins currently fail to meet essential requirements such as customer identification and anti-money laundering (AML) measures, which could allegedly exacerbate gaps in global financial regulation.
He expressed concern that these issues foster a “speculative market atmosphere,” increasing vulnerabilities in the global financial system and affecting the monetary sovereignty of less developed economies.
The central bank plans to collaborate with law enforcement to continue cracking down on domestic operations and speculation related to crypto. “The policies and measures implemented since 2017 to address risks associated with virtual currencies remain in effect,” he stated.
Regulatory Revisions Ahead
Despite China’s continuous crypto crackdown, research on stablecoins is progressing within China. The country’s largest government-backed research fund recently opened applications for studies focused on stablecoins and their cross-border monitoring systems, offering grants ranging from 200,000 yuan (approximately $28,083) to 300,000 yuan ($42,126).
The central bank also plans to optimize the positioning of the digital yuan, allowing more commercial banks to participate in the pilot program that has been running in over two dozen cities since 2019, accumulating a transaction value exceeding 14 trillion yuan.
Zhu Hexin, director of the State Administration of Foreign Exchange, indicated that nine new policy measures would soon be introduced to promote trade innovation and development, with the potential to bring positive developments for the growth of the crypto ecosystem in the Asian country.
Wu Qing, chairman of the China Securities Regulatory Commission, also hinted at the possibility of such measures, stating that the regulator would review listing standards on the Shenzhen Stock Exchange’s ChiNext board to better align with the characteristics of emerging fields and future industries.
Featured image from DALL-E, chart from TradingView.com
Mike Selig has just been nominated by President Donald Trump to lead the Commodity Futures Trading Commission (CFTC).
According to multiple reports, crypto regulator Mike Selig is currently the chief counsel for the Securities and Exchange Commission (SEC) Crypto Task Force and has experience at the CFTC under former chair Chris Giancarlo.
The nomination comes as the Trump administration is trying to refine the regulation, oversight, and institutional framework of the digital assets space.
Who is Crypto Regulator Mike Selig?
Mike Selig’s background is a mix of traditional financial regulation and crypto-policy experience. He’s currently Chief Counsel for the SEC’s Crypto Task Force and has advised SEC Chair Jay Clayton.
Before that, he worked at the CFTC as a law clerk or counsel and was a partner at the law firm Willkie Farr & Gallagher, specializing in asset-management and digital-asset regulation.
He’s publicly commented on the classification of digital assets, including saying in 2023 that “XRP itself is simply computer code. A fungible commodity, like gold or whiskey.”
Hence, experts say he would bring regulatory gravitas and crypto awareness to the role.
The Timing and Strategy Behind the Nomination
Selig’s nomination comes at a time when the U.S. regulatory framework for crypto is in flux. Legislation like the CLARITY Act and the GENIUS Act are being set to clarify which agency oversees which types of digital assets.
Reports share that the CFTC and SEC just had joint discussions to eliminate fragmentation in crypto oversight. Crypto regulator Mike Selig is to replaces a previously stalled candidate, Brian Quintenz, whose appointment was met with industry push-back.
White House crypto adviser David Sacks described Selig as “deeply knowledgeable about financial markets and passionate about modernizing our regulatory approach” in his announcement.
What Selig’s Nomination Means for Crypto Markets
With Selig in charge, the CFTC may get more responsibility in the digital-asset space. The nomination is about the agency’s role in overseeing commodities and derivatives, including digital asset-related products.
Sources reported that Selig is charged with just as the CFTC is expected to take on new authority over the nearly $4 trillion crypto market.
Moreover, Selig’s comments and analysis of the Ripple Labs litigation show he’s comfortable classifying digital assets as commodities rather than securities, a big holding block in regulatory terms.
His appointment may make market participants open up more access to regulated platforms and vehicles.
Agency Boundaries and Oversight
The big question in crypto regulation has been jurisdiction: which agency regulates what? The SEC has always focused on securities, while the CFTC handles commodities and derivatives.
Crypto regulator Mike Selig’s nomination aligns with recent signals of cooperation between the two agencies. A joint roundtable held in September featured SEC Chairman Atkins and acting CFTC Chair Caroline Pham saying they would end decades of regulatory fragmentation.
Selig’s nomination reinforces that. According to expert analysis, his dual agency background means he can streamline overlapping regulatory mandates. That could mean clearer paths for token classification, custody frameworks, and digital-asset exchanges, fewer grey areas for issuers and investors.
Industry Reaction and Outlook
Industry has welcomed the nomination. The crypto community noted his previous comments and legal positions align with the adoption of digital assets. Charles Hoskinson, founder of Cardano, wrote on X:
“Chairman Selig is going to do a great job at the CFTC. I have full confidence in his ability and leadership.”
The media also said crypto regulator Mike Selig is seen as a market-friendly regulator compared to previous enforcement-heavy regimes. While confirmation by the Senate is still needed, the nomination itself is a signal that the regulatory environment may favor of more structured crypto oversight.
Conclusion
Crypto regulator Mike Selig’s nomination as CFTC chair means a big change for digital-asset oversight in the US. With experience at both the SEC and CFTC, Selig is put uo to lead at a moment of regulatory convergence, institutional engagement and legislative momentum.
His nomination means the US is doubling down on its goal to be a global hub for crypto innovation, with clearer rules and coordinated oversight.
The impact is expected to be far-reaching, from institutional access to token classification, custody services, and trading venues.
Glossary
CFTC: US regulatory agency that oversees commodity futures, options, and derivatives.
SEC: US federal agency; that enforces securities laws and regulates securities markets.
Crypto-Task Force: A unit within the SEC, focused on crypto-asset regulation, compliance, and enforcement.
Token classification: The legal determination of whether a digital asset is a security, commodity, or other asset class with regulatory implications.
Confirmation (Senate): The process by which the US Senate approves presidential nominees for agency leadership.
Regulatory convergence: The alignment of rules, mandates, and enforcement approaches across multiple agencies, to reduce conflict and overlap.
Frequently Asked Questions About Crypto Regulator Mike Selig
Who is Mike Selig and why is his background important?
Mike Selig is the current chief counsel for the SEC’s Crypto Task Force, previously worked at the CFTC and in private practice focused on asset-management and digital-asset regulation.
Why is this big for crypto?
He’s being nominated at a time of regulatory flux and legislative movement so clarity on oversight, token classification and institutional access might be seen.
What will the CFTC do under his leadership?
He may expand CFTC oversight of digital assets treated as commodities or derivatives and coordinate more with the SEC on securities-type tokens.
Is the nomination confirmed?
As of the latest report; he’s been nominated but still needs Senate confirmation before he can take the chair.
How is the crypto community reacting?
Many are positive; citing his prior legal commentary and regulatory experience. For example; Cardano’s founder is fully confident in his ability to lead the CFTC.
President Donald Trump has selected Michael Selig, chief counsel for the Securities and Exchange Commission’s crypto task force, to chair the Commodity Futures Trading Commission (CFTC).
Selig’s nomination, first reported by Bloomberg, marks Trump’s second attempt to fill the CFTC’s top post, following the stalled nomination of Brian Quintenz, a16z crypto’s global policy chief, amid opposition from Gemini co-founder Tyler Winklevoss.
Selig, who serves as an aide to SEC Chairman Paul Atkins, has been instrumental in coordinating regulatory approaches between the SEC and CFTC on financial and crypto market oversight.
The CFTC, which regulates futures, swaps, and prediction markets, is gaining greater prominence as Congress considers new crypto market structure legislation.
Before joining the SEC, he was a partner at Willkie Farr & Gallagher, specializing in asset management.
Selig’s appointment will require Senate confirmation.
JUST IN: President Trump selects Michael Selig as CFTC chair amid crypto growth. pic.twitter.com/VeFZITp8U6
President Donald Trump also recently granted a full pardon to Binance founder Changpeng Zhao, calling his prosecution part of the prior administration’s “war on cryptocurrency.”
The move, confirmed by the White House, clears Zhao’s record and echoes a major shift in the government’s approach to the crypto industry.
Selig’s appointment comes as momentum behind U.S. crypto legislation accelerated this week as Coinbase CEO Brian Armstrong said the industry was “90%” of the way toward securing passage of the Digital Asset Market Clarity Act, or CLARITY Act.
Despite a partial government shutdown, lawmakers from both parties reportedly made major progress on the long-awaited market structure bill.
Armstrong met with senators from both parties, including Majority Leader Chuck Schumer, Sens. Kirsten Gillibrand, Cynthia Lummis, and Tim Scott, describing the discussions as “very productive.”
The bill, which passed the House in July with a bipartisan 294–137 vote, aimed to clarify which digital assets fall under the SEC versus the CFTC, while providing rules for decentralized finance (DeFi), stablecoins, and custody services.
The final sticking points centered on how to regulate DeFi and whether consumers could earn rewards on stablecoins. Crypto advocates urged lawmakers to target regulation at intermediaries rather than open-source code and warned that the banking lobby sought to limit yield on stablecoin holdings.
Despite procedural delays from the shutdown, optimism remained high. Lummis said she expected the bill to reach President Trump’s desk before year-end, calling it the most significant bipartisan step toward U.S. crypto clarity to date.
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