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CFTC commissioner will step down to become Blockchain Association CEO

Summer Mersinger, one of four commissioners currently serving at the US financial regulatory body Commodity Futures Trading Commission (CFTC), will become the next CEO of the digital asset advocacy group the Blockchain Association (BA). 

In a May 14 notice, the Blockchain Association said its current CEO, Kristin Smith, would step down for Mersinger on May 16, allowing an interim head of the group to work until the CFTC commissioner assumes the role on June 2. Though her term at the CFTC was expected to last until April 2028, the BA said Mersinger is set to leave the agency on May 30.

The departure of Mersinger, who has served in one of the CFTC’s Republican seats since 2022, opens the way for US President Donald Trump to nominate another member to the financial regulator. Rules require that no more than three commissioners belong to the same political party. 

Like the Securities and Exchange Commission, the CFTC is one of the significant US financial regulators whose policies impact digital assets. Lawmakers in Congress are currently working to pass a market structure bill to clarify the roles each agency could take in overseeing and regulating crypto.

Related: KuCoin’s settlement with CFTC in flux after Trump policy shift

New leadership at the Blockchain Association had been expected since Smith announced her departure on April 1 to become the next president of the Solana Policy Institute. A spokesperson for the Blockchain Association had not responded to Cointelegraph’s request for comment at the time of publication.

Some of the biggest crypto firms in the US, including Coinbase, Ripple Labs and Chainlink Labs, are members of the Association. The organization “support[s] a future-forward, pro-innovation national policy and regulatory framework for the crypto economy,” according to its website.

Changing the leadership at a major US financial regulator

A nominee of former US President Joe Biden, Mersinger has called for standardized crypto-related policies and said the CFTC was the “ideal regulator for the cryptocurrency spot market.” Some expected she would lead the regulator following the election of Trump and the departure of then-CFTC Chair Rostin Behnam, but Commissioner Caroline Pham took on the role in an acting capacity in January.

Trump chose former commissioner Brian Quintenz to chair the CFTC in February, but his nomination has not moved through the Senate for a vote in roughly three months. Commissioner Christy Goldsmith Romero reportedly said she plans to leave the agency once Quintenz is confirmed, potentially giving Trump the chance to nominate three new commissioners to fill the five-seat panel.

Any CFTC commissioner picked by the president needs a majority vote in the Senate to be confirmed for a five-year term or to fill in for a resigning member.

Magazine: Crypto wanted to overthrow banks, now it’s becoming them in stablecoin fight

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Fed governor tells bankers DeFi is ‘nothing to be afraid of’

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Fed governor tells bankers DeFi is ‘nothing to be afraid of’

Fed governor tells bankers DeFi is ‘nothing to be afraid of’

Federal Reserve Governor Christopher Waller urged policymakers and bankers to stop fearing DeFi and stablecoins, saying they will drive the next wave of innovation in the US payments system.

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Two Labour-run councils ‘considering all options’ to challenge migrant hotel use

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Two Labour-run councils 'considering all options' to challenge migrant hotel use

Two Labour-run councils are considering legal action to stop the use of hotels to house migrants in their areas after Epping council won a temporary injunction.

The leaders of Wirral and Tamworth councils both say they are considering their legal options in the wake of the Epping case, citing similar concerns about the impact of the hotels on their local communities.

Politics latest: Judge in Epping hotel case was Tory candidate four times

Epping Forest District Council won an interim High Court injunction on Tuesday to stop migrants being housed at The Bell Hotel, after arguing its owners did not have planning permission to do so.

Paula Basnett, the Labour leader of Wirral council, said: “We are actively considering all options available to us to ensure that any use of hotels or other premises in Wirral is lawful and does not ride roughshod over planning regulations or the wishes of our communities.”

She added: “If necessary, we will not hesitate to challenge such decisions in order to protect both residents and those seeking refuge.”

Carol Dean, the Labour leader of Tamworth Borough Council, said she understands the “strong feelings” of residents about the use of a local hotel to house asylum seekers.

She pointed out that under the Labour government, the use of hotels has halved from 402 to 210, with the aim of stopping the use of any hotels by 2029.

But in light of the Epping case, she said “we are closely monitoring developments and reviewing our legal position”.

Epping has been the focal point of protests against migrant hotels in recent weeks. Pic: Reuters
Image:
Epping has been the focal point of protests against migrant hotels in recent weeks. Pic: Reuters

Badenoch backs more council rebellions

Other Tory councils are also being encouraged to follow Epping’s lead by party leader Kemi Badenoch.

She has sent a letter to all the councils they control, pledging her support for them to fight migrant hotels.

She wrote: “The Epping hotel injunction is a victory for local people led by a good Conservative council working hard for their community. This is the difference Conservatives in local government deliver. Real plans. Real action.”

Conservative-run Broxbourne Council has announced it is exploring its legal options.

The Reform UK leader of Kent County Council has also said she was writing to fellow leaders in Kent to explore whether they could potentially take legal action.

Read more:
Asylum seekers face being removed from Epping hotel
Labour smell dirty tricks over asylum hotel court ruling

Police officers ahead of a demonstration outside The Bell Hotel. Pic: PA
Image:
Police officers ahead of a demonstration outside The Bell Hotel. Pic: PA

Government under pressure

The prospect of more rulings in favour of councils will leave ministers asking where else they might be able to house asylum seekers. Other options may include flats and ex-army bases.

The prime minister and the home secretary are under huge pressure to clear the asylum backlog and stop using hotels across the country to house those waiting for their applications to be processed.

Keir Starmer and Yvette Cooper are under pressure to bring down small boat crossings. Pics: PA
Image:
Keir Starmer and Yvette Cooper are under pressure to bring down small boat crossings. Pics: PA

Protests have sprung up at migrant hotels across the country. But The Bell Hotel in Epping became a focal point in recent weeks after an asylum seeker housed there was charged with sexually assaulting a 14-year-old girl.

The council sought an interim High Court injunction to stop migrants from being accommodated at the hotel, owned by Somani Hotels Limited, on the basis that using it for that purpose contravened local planning regulations.

The interim injunction demanded that the hotel be cleared of its occupants within 14 days, but in his ruling on Tuesday, Mr Justice Eyre granted the temporary block, while extending the time limit by which it must stop housing asylum seekers to 12 September.

Somani Hotels said it intended to appeal the decision. Its barrister, Piers Riley-Smith, argued it would set a precedent that could affect “the wider strategy” of housing asylum seekers in hotels.

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Asylum hotels: ‘People have had enough’

Epping hotel ‘sidestepped public scrutiny’

A government attempt to delay the application was rejected by the High Court judge. Home Office barristers had argued the case had a “substantial impact” on the government performing its legal duties to asylum seekers.

But Mr Justice Eyre dismissed the Home Office’s bid, stating that the department’s involvement was “not necessary”.

The judge said the hotel’s owners “sidestepped the public scrutiny and explanation which would otherwise have taken place if an application for planning permission or for a certificate of lawful use had been made”.

Reacting to Tuesday’s judgment, border security minister Dame Angela Eagle said the government will “continue working with local authorities and communities to address legitimate concerns”.

She added: “Our work continues to close all asylum hotels by the end of this parliament.”

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Judge unfreezes over $57M in stablecoins linked to Libra token scandal

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Judge unfreezes over M in stablecoins linked to Libra token scandal

Judge unfreezes over M in stablecoins linked to Libra token scandal

The judge cited ongoing cooperation of the defendants in the case as one of the reasons for unfreezing the stablecoins.

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