The White House has officially elected former Federal Reserve leader Sarah Bloom Ruskin as vice president of Federal Reserve Supervision, and economists Lisa Cook and Philip Jefferson to fill two vacancies on the board.
In Friday’s statement, US President Joe Biden said he had appointed Cook, a Obama-era economic adviser and professor at Michigan State University, and Jefferson, a former Federal Reserve economist, as a board member in addition to Ruskin. . Jefferson and Cook will fill two of the vacant seats from a group of seven governors, while Jerome Powell and Lyle Brainard will serve as president and vice president, respectively.
According to the president, the three candidates have “the experience, common sense and integrity to lead the Federal Reserve and help rebuild our economy for the better for working families.” He cited Jefferson and Cook’s many years of experience working on financial issues, and stated that Ruskin was “one of the most qualified candidates ever” for vice president.
The Vice President of Supervision, unlike the Deputy Chairman of the Federal Reserve Board of Governors, is a relatively new role in a state agency. Randall Quarles was the first to serve a full four-year term from 2017 to 2021, shortly before resigning from the Federal Reserve Board in December. Under the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010, the vice president of supervision is required to “make general recommendations to the board regarding the supervision and regulation of custodian companies and other financial companies supervised by the board.” And supervise. “And regulation of these companies.
Several vacancies in the Federal Reserve, as a result of the expiration of the term and the resignation of board members, gave President Biden the opportunity to change the management of the agency. This week, he saw his nominees for Fed chairman and vice president – Jerome Powell and Lyle Brainard, respectively – before the Senate Banking Committee went to full vote in the Senate. If they get more than 50 votes, Powell, Brainard and Ruskin will rule the Fed until 2026, while Cook and Jefferson will sit for 14 years.
Related: US lawmaker hints at upcoming crypto legislation as Jerome Powell says the Fed will soon release digital currency report
A major change in the leadership of some of the best US financial regulators could affect the government’s stance on cryptocurrencies and the blockchain. The SEC and CFTC are likely to see changes in 2022 as SEC members Elad Rozman and Alison Lee are expected to leave this month in June. In addition, President Biden has not indicated that he intends to nominate CFTC Commissioner Don Stump before her term expires in April.