US President Joe Biden announced that he would appoint Acting Federal Deposit Insurance Corporation (FDIC) Chairman Martin Gruenberg to serve for a five-year term.
In an announcement made on November 14, President Biden said that he intended to nominate Gruenberg, who had already served as acting FDIC chairman from 2005 to 2006, from 2011 to 2012, and from February 2022 to the present. Gruenberg took over the temporary position following the resignation of the previous chair, Jelena McWilliams.
Under FDIC regulations, a Chairman of the FDIC Board of Directors may serve for a term of five years, after being appointed by the President of the United States and confirmed by the Senate. How the Democratic Party will maintain majority control of the Senate after the mid-term elections President Biden could see his election approved without partisan obstruction.
Gruenberg has spent his career fighting for consumers and is well equipped to defend the banking system from new & existing threats.
Under his leadership, I am confident that the FDIC will work to ensure that banks serve the needs of American families, not just bank executives.
—Elizabeth Warren (@SenWarren) November 14, 2022
Gruenberg has spent his career fighting for consumers and is well equipped to defend the banking system against new and existing threats.
Under his leadership, I am confident that the FDIC will work to ensure that banks serve the needs of America’s families, not just bank executives.
Shortly after taking office in February, Gruenberg said that one of his priorities for the FDIC in 2022 would be to assess the risks of cryptocurrencies:
“To the extent that such activities can be carried out in a secure and robust manner, agencies will need to provide robust guidance to the banking industry on managing prudential and consumer protection risks posed by crypto-asset activities.”
As Acting President, Gruenberg has presided over as the FDIC issued cease and desist letters in August to companies for allegedly making false representations about deposit insurance related to cryptocurrencies. In October, the acting chief suggested that stablecoins used for payments deserved further consideration by the FDIC.
Gruenberg will testify before the Senate Banking Committee on November 15 and before the House Financial Services Committee on November 16 about the oversight of financial regulators in the United States.
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