Former Crypto Adviser Michael Barr Confirmed as Top U.S. Financial Watchdog

Michael Barr, an ex-Ripple advisor, was appointed by the U.S. senate to become the "U.S. banking watchdog," serving as vice chair of supervision at the fed. This will give someone who understands crypto well a voice in how the traditional financial system interacts with crypto.

Barr was nominated by President Biden April but was only passed the senate today with a 66-28 vote. Though Fed Chair Jerome Powell technically outranks him, Powell has stated that he'll defer to the vice chair on financial regulation issues.

Barr, the public policy school dean at the University of Michigan Law School, understands crypto deeply, having worked on the advisory board at Ripple. When he was hired in 2015 for the Ripple job, he said, "innovation in payments can help make the financial system safer, reduce cost and improve access and efficiency for consumers and businesses alike."

Responding to the news of the vote, President Biden said that Barr's including in the Fed makes "important progress for my plan to tackle inflation, and for sound oversight as we transition to steady and stable growth. 

During his Tenure, there is speculation that the Fed may try to launch a digital dollar, which Barr's past crypto experience could benefit. Barr's previous academic work suggested that a central bank digital currency can boost the government's financial inclusion goals. The effect of more "traditional" stablecoins can not be overstated.  

Barr's vote today saw wide bipartisan approval, with numerous Republicans voting to give him the job, regardless of being appointed by President Biden.

Author: Garrett Meifert

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