Lutnick Confirmed: Bitcoin Advocate as Commerce Secretary
Howard Lutnick, former CEO of Cantor Fitzgerald and a prominent Bitcoin supporter, has been confirmed as the US Secretary of Commerce. The Senate confirmed his appointment with a 51-45 vote on Tuesday.
Key Responsibilities and Trade Policies
In his new role, Lutnick will oversee approximately 50,000 employees at the Commerce Department, managing responsibilities ranging from economic statistics and census operations to weather reporting. A key focus will be implementing President Trump's trade agenda, working alongside trade negotiator nominee Jamieson Greer.
During his confirmation hearing, Lutnick dismissed concerns about the inflationary effects of tariffs, calling them "nonsense." He expressed support for implementing tariffs on a country-by-country basis to encourage other nations to reduce trade barriers affecting US exports. This approach aligns with Trump's announced plans for "reciprocal" tariffs to match higher tax rates imposed on American goods by other countries.
The administration has already implemented tariffs, including a 10% tax on Chinese imports and increased taxes on foreign steel and aluminum. Further tariffs on Canadian and Mexican goods, currently postponed until March 4th, remain a potential development.
Lutnick's background includes leading Cantor Fitzgerald's recovery following the September 11th, 2001, attacks, a tragedy that claimed the lives of 658 employees, including his brother. He currently sits on the Board of Directors of the National September 11 Memorial & Museum.
Lutnick's Pro-Bitcoin Stance
Lutnick is a vocal proponent of Bitcoin, frequently comparing it to gold and advocating for unrestricted global trade in the cryptocurrency. He stated at a Bitcoin conference earlier this year: “Bitcoin is like gold and should be free trade everywhere. We’ll do everything in our power to make it so.”
He views Bitcoin as a scarce and valuable asset, evidenced by Cantor Fitzgerald's actions under his leadership. These include initiating a $2 billion Bitcoin financing operation and acquiring a 5% stake in Tether, valued at roughly $600 million (per the Wall Street Journal).
Lutnick has been critical of the regulatory uncertainty surrounding digital assets in the US and advocates for clear policies to facilitate greater Bitcoin adoption among financial institutions. His support extends to other crypto innovations, including stablecoins such as USDT and USDC. Cantor Fitzgerald actively manages Tether's US Treasury holdings supporting USDT.
Following his confirmation, Lutnick resigned as Chairman and CEO of Cantor Fitzgerald to adhere to government ethics guidelines, divesting his business interests.
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