liz: does that confusion because gary gensler has been quite firm that is wary of what's going on inants to protect investors from themselves from what appears to be a very mesa industry or investment, i get that and here he is slowly but surely certain toe dips into the opportunity for investors to die even but if you were sitting across from gary gensler what would you recommend he starts when it comes to regulation. >> i actually think gary gensler is a little bit misunderstood he is pro-bitcoin in my opinion he taught the crypto currency as many people know that when you actually dive into the course itself and he points out some of the problems with the regulated how do we get crypto into the regulated space and what are the main problems he points out it's like custody, he is spot on those are problems to if you say someone with the bitcoin but that company can be, how is that protecting the everyday people. and i have a gold atf at a bitcoin atf and i'm storing the gold in my basement is the ftc going to evolve, probably not unless companies can show and actually address the i

chair gensler it doesn't have to be like this.using is a human right and their chairwoman and trees. and for you to take action to help address these behaviors and i look forward to following up on line. thank you and i yield back. >> thank you very much ms. presley. the dauman from ohio mr. davidson is now recognized for five minutes. >> i think the ranking member and chairman gensler thank you for your time here today. in 20 teen there was in her "times" article with reviews on crypto currencies. one of the crypt of currencies discussed in the t article was - you say problems with securities laws some of the first tokens were sold by the foundation before the network was functional. you go on to say they could get up from securities laws to the fact that it developed into a decentralized network. ready for. lee said he believed the coin offering tokens are securities that right here is sounding like you are balloting you've made the transition to what would have been the security to a commodity once the network was adequately ce

gensler has no comment on this.pushback that there's a reason for this , which at least this is what the staffers are telling people on wall street, that they really believe he wants to be treasury secretary. that janet yellen is not going to do a secretary, remember, mnuchin did four years under trump. i think geitner did four years under obama. these are burnout jobs so people generally leave them after a few years, and he has his eyes on that job, and that's why you see so much activity out of the sec, particularly on the sort of progressive things like esg investing which appeals to elizabeth warren who has kind of many appointments so that's what's going on at the sec. a fascinating moving story change subjects a bit, i know you talked about bitcoin. we laid out on friday on your show the reasons why bitcoin could go a lot higher, how it's 85% of it does not trade, it's being horded right now, and the last time that happened is when it went on one of its monumental terrors a couple years ago, so there's a techn

chair gary gen gensler.nk you for joining us. >> great to be with you. >> i want to talk about your gamestop report but i have to start with bitcoin we have a raft of cheering people down here from pro shares pro shares bitcoin etf futures etf is started trading a few moments ago. can you explain to our viewers why you chose to allow it, a bitcoin futures etf to begin trading and not yet approved a regular bitcoin etf? >> bob, thank you for that question just to give you a little context, i think that we in the official sector should be technology neutral and not policy neutral and what we are trying to do is ensure to the best we can within our authorities to bring projects in to the investor protection perimeter and so what you just mentioned bitcoin futures have been overseen by the sibling agency, the commodity futures trading commission which i was once honored and proud to serve there and been four years and some of these applications came in and went effective as you said, one went effective with rega

chair gensler. you have a lot. during the trump administration the commission provided oversight that eliminated key protections for investors. trump, sec enacted regulations the brokers loved and investors hated. trump sec approved proxy -- axis rules that corporate executives loved, and shareholders roundly rejected. to favor multi-billion dollar corporations, trump's sec did nothing to standardize reporting of environmental, social and governance metrics. even though the financial sector's growth exploded, the number of sec staff under trump was reduced by 5% and enforcement actions against wall street fell to historic lows. and more troubling, working families and retirees, whose hard-earned savings help fuel the capital markets, were ignored. these are only a few examples. the point is clear: most of the policy and administrative decisions the commission made under trump unsurprisingly favored wall street, large corporations, and their lobbyists. the sec under your leadership also finds itself

professor and current sec chair gary gensler.t before the ripple suit was filed and gensler was anti-ripple at the time and i asked brad about this and here's what he had to say. >> i believe very strongly that we will get to a good place here , i think it's clear that on capitol hill, they are paying more attention to this , frankly partly because of your reporting , and i think that also is good for the whole industry. if we get into some of your gensler also has called out hey we need more clarity by saying we need legislation but he's saying it's clear there's a contradiction there. i think it looks like chill is leaning in a little bit now, which is -- charlie: really you think there's movement? that an uber regulator? >> we're just right clarifying laws. charlie: interesting. >> you're seeing more senators, more representatives understand there's a real issue hearing from their constituents it's a real issue. the effort for xrp holders against the sec now is apparently 45,000 -- charlie: the lawyer told me that 45 and growi

cheryl: i don't always agree with gary gensler either.onestly if it protects those out there trading, we've seen a younger generation want to come into the markets to be part of the stock market i'm with you. we have to run, kenny. agree with you. we'll talk on twitter. kenny polcari. good to see you, sir. we have a lot more coming up. imagine having to turn down a half a million job because you're dealing with a massive labor shortage? that is exactly what one company forced to do. we'll hear from them coming up. ♪. (rhythmic electro rock music) (crowd cheering) - bito, bito, bito, bito! - [announcer] bito, the first u.s. bitcoin-linked etf. new projects means new project managers. you need to hire. i need indeed. indeed you do. when you sponsor a job, you immediately get your shortlist of quality candidates, whose resumes on indeed match your job criteria. visit indeed.com/hire and get started today. it's another day. whose resumes on indeed match your job criteria. and anything could happen. it could be the day you welcome 1,200 guests

gensler, the head of the s.e.c.seems to imply that he doesn't want to act without clear regulatory control over its system but, like, bitcoin exchanges but he doesn't have clear regulatory control is it going to take an act of congress, or is he simply going to have to declare that he has control over certain parts of the crypto universe right now? i'm confused about how this could play out because it doesn't seem to be any action on the regulatory front >> i would say that i actually think, i'm always glass half full on these things, but i think he achieved de facto regulatory control over coinbase when he told them to stop doing a lending product a couple of weeks ago, and they actually stopped. by requiring them to have a broker deal and a futures license, maybe he's accomplished what he's wanted to, which is de facto regulatory control over the so-called crypto exchanges >> yeah, it seems like congress is pretty distracted right now with a lot of other issues including the budget and getting through biden's agen

i can't get into gary gensler's head.abeth warren's head, but still, to this day, i have not seen good evidence as to why the stuff that ken griffin does with payment for order flow is such a horrible horrible thing. that i want, no one has ever been able to give conclusive evidence that because you can trade with payment for order flow, somehow, ken griffin is running around on the other side of that manipulating markets, screwing over the retail investor with poor execution. there's no evidence. i don't know why. liz: it's more of a problem for names like robinhood that's their source of revenue and if it does go away or regulates somehow. charlie: that could be a problem liz: robinhood is in trouble. charlie: that could be a problem but so that's where this sort of political sort of element comes into it, where people are saying , if he doesn't have good evidence, if it looks like the markets are running pretty well, which i think you could say they are, we're not having flash crashes, you know, okay robinhood had some

chair gensler. as i mentioned in my opening statement i'm deeply concerned about the recklessness of senate republicans refusing to vote or any legislation that would allow the treasury to pay the debts. those same republicans already putting to incur. last week treasury secretary janet yellin said on several occasions that failing to raise the debt ceiling would lead to quote, a catastrophe and send chair alan said it was essential for congress to act quickly. chair gensler, as a former treasury secretary and assistant secretary focused on financial markets as well as department chair with the cftc and chair of the sbc you are uniquely positioned to describe what would likely happen it treasury is blocked by republicans from paying its bills. can you describe what would happen in our markets both in the coming days and if the treasury is in default and i would like to know what would likely happen to people's retirement investments and to americans businesses trying to raise capital and create jobs

chair gary gensler has indicated he's very concerned about fraud and manipulation on crypto exchanges, approving a regulated futures bitcoin etf would remove some of those concerns over custody and fraud as well. and show the pro shares etf begin trading on tuesday, there are four other futures etfs that will likely begin trading in the days and weeks ahead what happened, there is pressure on gensler to do something, a confluence of two big forces, the etf community and the crypto community who both want something to get going right now. it looks like for the moment a futures bitcoin etf is in the cards. >> how did the pro shares one end up becoming the first out of the gate are there any chances they could pull the plug? >> yes this is one of those things that's called first filing normally the s.e.c. when you have essentially similar products, they will approve -- allow the first one that's been filed to start trading first in theory, they could stop this all the way up until midnight on monday but there is a history of this, and this is why people are fairly confident they are not.

eastern time we will have gary gensler on, the chair of the s.e.c., to discuss the findings. for example, people are commenting was there manipulation involved? it does say the report gary gensler has had talking points for month on payment for order flow, gamification of trading. was there harm because of that trading and was payment for order flow part of that harm the report doesn't skocome to a particular conclusions on that i think what we will have here, they will have the report sent to the commission. the commission commissioners are going to dab what, if any, rules they might want to enact around it. >> does this make any sense for you to go to $483 a share and say it's just simply the retail buying frenzy that sent it higher and a small fraction was short selling or short covering? >> i think there is probably something clear that could come out of this that will help the general public for example, we need greater clarification on short sales and who is short and maybe much more disclosure on that they seem to believe that a sort of frenzy occurred, essentially. th

jonathan: where is gensler -- tom: where is gensler?!as a company that was publicly held. we work is still losing money soho knows what happens to about $50 -- so who knows what happens to that $50 down the line? jonathan: i am sitting in the cheap seats here. i have never seen anything like this where someone loses $17 billion from softbank. tom: there is always a silly season. the average account size of robinhood versus the other discount brokers, it is like -- it is ridiculous. jonathan: would you be celebrating? tom: it is foreign to what i know. jonathan: that was fun, wasn't it? can we give a shout out to twitter? what music was playing? if you go on twitter and find this video, it has a great song track. " where are your masks?" it was early 2019! isn't that sad now? the knee-jerk reaction is " where is your mask?" tom: " was that on the mx?" jonathan: wouldn't it be nice to have those days back? tom: i'm optimistic. jonathan: kailey leinz with us today, tom keene, jonathan ferro. i'm looking forward to more of that production do

would stop screaming in my ear, gary gensler would -- liz: i'm not saying anything. you this. that report shot down every conspiracy theory. liz: but it pumped up the gamif ication acting like the retail investors are stupid and distracted by shiny objects. charlie: no it didn't. it said they like the stock. stop it. i read the thing twice. liz: so did i. charlie: did you read the record liz: now i'm getting yelled at right here. charlie: just because you have it right here doesn't mean you read it. go back to adam aron, keep looking at what adam is going to do because he's going to be making news in the next couple weeks and break it on this show. liz: charlie gasparino live from beverly hills we're coming right back, don't go away. as an independent financial advisor, i stand by these promises: i promise to be a careful steward of the things that matter to you most. i promise to bring you advice that fits your values. i promise our relationship will be one of trust and transparency. as a fiduciary, i promise to put your interests first, always. charles schwab is pr

if that happens, that's a huge check on gary gensler, by the way, huge check on him. you name it, it's not good for him. liz: charlie gasparino. coinbase up 5.4%. big move there. there was a pandemic up by boom as lockdown animal lovers adopted and bought new four-legged friends at a torrid pace. today's countdown closer has a stock he says is going to help you cash this on the canine craze. closing bell, we're 9 minutes away, make that 8 minutes away. dow is still gaining, 512 points. dig -- big day of rallies. ♪ ♪ at vanguard, you're more than just an investor, you're an owner with access to financial advice, tools and a personalized plan that helps you build a future for those you love. vanguard. become an owner. vanguard. (sfx: video game vehicle noises, horns beeping,) (engines revving, cars hitting one another.) (sfx: continued vehicle calamity.) just think, he'll be driving for real soon. . . your shipping manager left to “find themself.” leaving you lost. you need to hire. i need indeed. indeed you do. indeed instant match instantly delivers quality candidates

chair gary gensler. i know a default would be bad news.le at home understand what that would look like for them. >> well, i think of it this way, the treasury markets are at the base of our capital markets. they're called risk free for a reason, and what we would call into question what does that mean, risk free? it's like the foundation of a home, and if you had a home and somebody said, guess what, your foundation is defaulted. it's basically broken. the house will rumble and the house may even collapse. >> that is not good news. i want to turn and ask you about facebook because yesterday the facebook whistle-blower said the company misled advertisers and investors. she wants you, the s.e.c. to investigate. are you going to? >> stephanie, i think your viewers would appreciate that i'm not in a position to comment on any whistle-blower -- >> they'd actually love to know. >> i understand that. but let me go to a broader value in our security laws. if executives of companies that are public companies mislead the public, they mislead the pub

gensler evaded giving a bright line standard and instead said if you want to work in this space, comek to us. basically cut your own deal like a third world country. instead of having a clear set of rules. that's what i have been working on in a bipartisan way really since 2018 to have [inaudible] when something is a security and when it is not. >> charles: by the way, i think you're at a crypto summit today. you're coming in, mostly every now and then a hiccup, that's okay. you mention a bipartisan effort. i get a sense that 99% of folks in congress don't even know what crypto is. >> a lot of people that don't really understand it, but, you know, frankly a lot of people don't understand how aspirin gets rid of headaches, but when you have one you take it. crypto is a way to have privacy restored in the financial space. there are people who don't want there to be financial privacy. you can see that with janet yellen calling for $600 threshold for reporting requirements to the irs. they want to destroy the whole concept of privacy. that's where the fault lines are really. it is not lef

people thought that gary gensler was going to use this report essentially to enact his type of marketmaybe push all trading into the major stock exchanges. the problem he has, and i'm picking this up from major market executives who follow this stuff and talk to people in washington, is that the report's conclusions came out bit pretty benign. they found no major problem with naked short selling or payment for order flow. maybe more disclosure is needed. they found no major problems, it was not in the report about how these dark pools, these other exchanges which are different than the new york stock exchange, they think use of those is hurting the small investor. so what we're hearing here, david, today is if gary gensler wants to change thing, he came up pretty short with this report. republican members of the sec, the two commissioners, joe royceman and heather pierce, pushes back on a lot of his proposals. basically, people are saying here they highly doubt major changes to market structure in the next year. we may still have a conversation about payment for order flow, and gary g

what do you do with gary gensler and the rest when the police show up to say enough?ace: well, you have put your finger on something that i think is one of the latest risks to crypto. you have already seen china and india outlaw bitcoin trading. but on the other hand, gary gensler has also said he sees this revolutionary new technology as offering tons of wonderful opportunities. the fed is studying central digital currencies. so yes, regulation is a huge potential risk in this space, but you could also argue that once there is a regulatory roadmap in place, as will offer enormous opportunities as people conform to that. tom: we will have to leave it there. candace browning, congratulations in driving forward the discussion with bank of america and their head of global research. let's summarize a monday onto the jobs report friday. i got red and green on the futures screen. it is a churn as we await more data. lisa: but the churn is around better data and higher stocks. that indicates fear about higher prices and slowing growth, not necessarily stagflation, but i knew

caroline: michael, what did you have to persuade gary gensler of?e has very much only wanted a futures etf. yes, it mutes you perhaps on some of the upsides, but what is that you need to convince regulators of to allow a spot etf? michael: i think we need to focus on what regulators have said historically about their discomfort with the underlying bitcoin market. historically they have been post on things like fraud and manipulation, -- focused on things like fraud and manipulation. i would say the commentary we have seen out of the commission, as well as the approval of the first futures based coin etf on the market would tell a story that a lot of those fears would be cleared up. when we really zoom out and think about the difference between a spot based etf from a pricing perspective, these are two inter-correlated markets, where futures are derivative of spot. having futures in the market could clear the pathway for physically backed products as well. taylor: you saw the and some of the analyst notes today. mark palmer was one, comparing the fut

gensler is now, gary gensler, sec chief is doing major inquiry to the meme stock stuff any conflictsnvolving citadel's role in it. they buy the order flow from robinhood, right, so robinhood can charge zero commissions. gensler hate this is practice. i don't know why. it works. people trade cheaply on it. he may outlaw the practice. neil: legal now. >> totally legal. not good research why it is bad for retail. it is still very -- in any event we're getting from people in washington they're saying this stuff that is going on is aimed at him and it is really interesting because he is, i mean if you think about it, jamie dimon, personally doesn't give any money. stove schwartzman give as few blix at blackstone. he is republican. neil: he spreads it out too. >> he spreads it out. this is pretty amazing. we tried to find any democratic donations. we couldn't find any the last 10 years. there is political element people are saying. by the way he is republican. he is a conservative. believes in low taxes. nothing wrong with that. this is, you promote those policies. you know, particularly i

put something on it maybe but here's the thing, you heard ashley mention gary gensler.l not go gently into that good night. an official from bank of england, $1.2 trillion, subprime mortgage security thing, you remember that, alone triggered 2008 financial crisis. crypto at 2.3 million would be a bigger threat. what is it, regulators, a lot of hedging, rooting for collapse of cryptocurrency? >> these regulators will not definitely not be gentle. they will come out guns ablazing. bitcoin is already the world's third largest currency. crypto is the size of apple. it become so big it has to be regulated and at the same time it is also too big to fail. the thing, charles, crypto bitcoin regulation is complicated. no government can regulate bitcoin directly. the only way to shut down the internet completely. we all know that is not happening. governments can regulate access to bit kin. they can regulate transactions of bitcoin. infrastructure buildout of bitcoin. they can create their own infrastructure and take out demand for bitcoin. bitcoin is the ultimate hedge against i

were to default and chair gary gensler said there would be significant volatility in the market areasr hours. >> without objection the chair to declaring a recess of the simple interim committee and as a reminder, i ask all m

they are excited >> now gensler talked about this and he said are they as in trading platforms, the robinhoods behavior prompts to trade more or move more or trading on margin. but he has given us a clear answer on whether he thinks that needs to be changed, what the s.e.c. can actually do to help the public or if they need help? >> his body language clearly indicates he does want a change to be made i think he's on to something all due respect to cathy woods, i think he's -- directionally correct. it does likely encourage more trading. what he needs to be able to show is there is some kind of harm for this is there a problem with more trading? does it make people prone to errors does it make people prone to trade too much if you can show a demonstrable harm, there might be a reason for enhanced guidelines from the s.e.c. i think it's going to be a little more difficult on payment for order flow and i pressed him on this this morning i think he'll have a much harder time demonstrating the public is getting harmed or ripped off payment for order flow because the average investor is getting a be

interesting they will prove a futures but not appear play bitcoin etf, gary gensler in the sec feelslready have the cme futures on the stock pricing there's a lot of framework they need to build play bitcoin etf protecting against hackers, volatility the have to protect against fraud is an easier sale to say we're bitcoin futures anyway so when a bundle that as a first step to approve a bitcoin etf in the future. neil: there a lot of marketing muscle and momentum we've been miserable for does anyone think it's getting ahead of itself. >> 624 - 60000 record also the statistic, 17% away from bitcoin being the same value as silver and silver has been around since the turn-of-the-century 200 years bitcoin 2008 this is the world that we live in a new generation younger driven retail investing world that were him. neil: hello from the other side. >> do you actually sing her new song. >> it looks a little weird. neil: it's already unsettling, thank you very much gary has been unsettled by many things over the years i know his fixation with adele is a capper on the cake let me ask you not ab

gary gensler is talking about a publicly trading company, a fiduciary.ice investments. things like alcohol, tobacco, gambling, guns. they have in their charter we don't invest in these types of things. if, in fact, mark zuckerberg knew the problems that higs company caused, what it did to young people, couldn't that put him in legal jeopardy in terms of how he presented his company to investors as well as advertisers? >> it's certainly possible. i would say when facebook views publicly about these issues its often very careful to use non-committal words to say we might be looking into that. instagram might be have be this effect. careful not to taint things that could be construed at direct contradictions of what the fact says, but, yeah. i think there is a question about whether facebook misled not just investors but also congress when executives testified and said their internal research showed instagram and other facebook products were having a positive affect on mental health. turns out that's not always the case. >> certainly gets people excited. ma

through that cycle secondly, when it comes to an accredited investor's list and i agree with you genslerice cnbc this morning. the fact that we have a rodeo going on on robinhood every day where we have retail investors trading options in companies like gamestop, i mean, josh, that is at least as risky as investing in a high-quality venture-backed company that altimeter and an dreesen are investing in >> fair. the fact that they're more risky than this activity going on in the public markets i think is misplaced, but i want to better democratize the opportunities and scott's heard me say before, my idea around invest america and give every child in this country a $2,000 investment account and make all kids part of the ownership society the big problem is there are only 30% or 40% of people when participate in the ownership society. that came to the front during covid. we need to correct that problem. >> you know, it's funny, as i was listening to you to talk about markets being distorted because of all of the liquidity, i mean, people have been saying that same thing since '08, right? th

front with payment for order flow chair gensler was on cnbc this morning.ow, when trading is being purchased and sent to one wholesaler they have information that the rest of the market may not have, at least for a short period of time, and even milliseconds matter in these markets and what we are looking at, also you are absolutely right that i think we want to look at that and how we instill greater competition for that data and that order flow. >> keeps teasing there to do something. what do you expect how vulnerable would you be? i think it's a bigger part of robinhood's model than yours. >> i agree with what he says about formation and also we get a lot of customers because they know that they don't have to trade against market makers when they come to us. we try to give them better executions so yes i mean, he is right. you can't deny he is right at least from the information and probably the pricing point, too. that is not that clear >> thomas in terms of what your clients are up to at the moment you often give us insight on cash levels relative to w

already people are blame gary gensler, the sec chair, of picking winners and losers, xrp being a loserntially becoming a security that ripple issued. ripple denied that, they're going to go back and forth. they're fighting it out. but that crushed xrp. gensler, long time liked bitcoin, liked it when he was at the cftc -- liz: well, the sec just approved volt equities etf, and the volt guy was on. he's the one who, out of blue, all these other big fund companies waiting in the wings, he's the one who got it. it's going to launch in the next couple of weeks. >> but remember, anything that legitimizes bitcoin, you'll get the runup, and that's what you had here. it's legitimizing bitcoin as something that is essentially sanctioned by regulators while others aren't totally. again, some of this is technical, it's being hoarded by crazy, 85% of it still from what we understand. people are holding it, wanting it to go up in value. last time that happened it tripped in value -- tripled this value. fundamentals sometimes come into play like something like this which gives -- it's more of a funda

the report from gary gensler was important for a couple of reasons including what is not in it and whatsioners pushed back on some of the major conclusions that chancellor had initially those were all designed for a massive change in market structure, he wants to get rid of payment for order flow and he wants to route customer orders to the major exchanges as opposing to go into dark rules is stopped short of that and rained on those issues. to take away from that is that he may push for the changes going forward but the commission knows it's in for a fight, probably the republicans in congress if they agree with what a lot of chancellor wants to do. the poll was very strong on the conspiracy theories that have been propagating the message board, twitter that there was a huge grand conspiracy of making shortselling when you do a short sale, you basically can keep you short forever and that is destroying companies like amc, gamestop, the report says there is no evidence of that. it also says no evidence of a massive short squeeze, one company, one hedge fund went under because of the ris

. >> conflict from gary gensler, he wants to crack down on crypto but the one crypto that he likes isnt. give me a little background this is exclusive stuff we will probably write it up for foxbusiness.com. in 2018 gary gensler met with the stb chair j clinton about new crypto regulations in 2018 and we understand that bitcoin should not come under sec scrutiny but is definitely a currency or commodity and should not be regulated and basically argued others should be that is the green light for bitcoin and you will probably transfer from a regulatory standpoint back to 2018 when gary gensler and mit professor and mit had a special group, a think tank at mit that was very heavily into the bitcoin block chain he was advocating for bitcoin back then and will happen after that 2018 a few months later there is a guy who gives a speech he ran corporate finance at the sec where he argues that bitcoin does not need to be regulated by the fec, along with a engine if cerium that's were you trace the modern regulation of bitcoin a block chain in the sec with these meetings between chancellor, cl

i do think gensler will finally get off the stick. we will have a domestic u.s. etf on etherium.lay that allows you to play the holly ghost system so it's quite frankly why we set up galaxy? giving us a chance to play the whole ecosystem. >> what do we not, we say it's what we don't know, we don't know what do you see in the next two, three, four months, that we're not anticipating for crypto. it can be china, more companies adopting it. more moves what do you think is going to happen that's going to dictate the movement where do you think we'll be in three, six months? >> not to sound like the ever bullish guy that i am sometimes accused of being but i literally see a scenario, where we take out the highs in bitcoin. we have one of these parabolic moves in all of crypto going into the fourth quarter. it's like the kentucky derby that turns the corner at the end and always runs the fastest. in investing, hedgefund investing, remember my 12 years in the macrofund the access that are ahead in the fourth quarter usually have great finishes everyone piles on and pushes the evaluation

so i really believe that chairperson gensler is spot on on the need for regulation, and the sec has atory of writing good regulatory policy. to be >> clear though >>, if it was related, you would trade it? >> i would because it would need the medes -- the needs of our partners who want to have a tier one firm making prices. part of the reason we are so significant in retail market making is our high reliability. we are there every minute of every day, and we provide a great service every day and every minute of every day. and they want us to provide pricing crypto. i just did not want to take on the regulatory risk in this regulatory void that some of my contemporaries are ready to take on. shery: let's not get to vonnie quinn with the first word headlines. vonnie: opec-plus says sticking with his plan for slow and steady now -- oil output increases. traders pushed crude to the highest in almost seven years put oil it joining natural gas -- they are threatening the world's recovery. japan's new prime minister has called a general election at the end of the month. he is seeking to bols

china's ban on crypto and mining and gary gensler called the industry "the wild west." it wants rules and regulations and wants to create new products to trade. you can buy and sell crypto on a platform. you could also trade tokens backed by physical commodities, gold, silver, platinum, nickel, cobalt, and copper. they hope that investors will trade. the platform is scheduled to go live by october or november. i sat down with the ceo and asked how he hoped to grow volume and liquidity. michael: we built our blockchain that is created and maintained by ibm. the difference is we are not centralized we rely on third-party validator's validating transactions so we know that you sold at one price and i bought at that same rice. each token can be embedded with metadata where you can understand the material. alix: is a professional institutional trader. michael: we are focusing on accredited investors because they can understand the risk and the volatility. but ultimately we would like to democratize this and make it available to the retail user. alix: talking about the regula

. >> securities exchange commission chair eric gensler testifies for the house initial services community- committee on the agencies priorities. chairman

emily: there is still no spot etf, and that depends on gary gensler. much does it matter?: i think everybody is perplexed that we are late with this, but i think the writing is on the wall. there are 40 different etf applications in place. in time, over the next 12 months, we will see more and more etf's and more options. if a spot etf comes to the market, it will be good for bitcoin in general and everybody involved in the bitcoin ecosystem. emily: you know, looking into robinhood results, there crypto trading dropped almost 80%. it was kind of astonishing. i spoke with the cfo who told me that perhaps crypto trading had normalized. i wonder what you make of that huge change in volume. i know it is just a window into robinhood, but i wonder if it signals broader interest or hype around cryptocurrency? michael: we have some cyclicality. it is natural. q1 was a big quarter. things slow down after the china equities. -- china exodus. it is heating up now. you can tell with the various coins. i don't think we have seen the last of crypto volatility in crypto enthusiasm. i thi

i'm curious to hear what gary gensler has to say. speaking at an event hosted by the institute of international economic law talking about crypto assets. or at least i hope so. especially as bitcoin surges to a record high. the etfs starting to trade, how much more will the chair edify this trend of crypto assets. we do have a look at home sales, the expectation is that it will remain elevated after declining. the prices are so high that the barrier to entry isn't there and the supplies are so low. take a look at how much prices has increased. 20% year-over-year. i think this is getting fed official attention as it raises rent prices. jonathan: we can hardly wait. tom, you have been talking about this, the resilience of corporations. they hiked prices in the third quarter by 4.1%. the most since 2012. unilever is the stock i want to bring up. hiking prices since 2012. that's a change. jonathan: -- tom: unilever is that staple along with nestle. they are managing for a lower nominal gdp. a lower nominal growth. they have a tough decis

market the only thing holding it back is a lack of regulatory clarity and we got a tiny dose when genslere in a bitcoin etf approval later this month and that's unleashed this bull market i think it is a down payment there's a lot more to come and still a huge amount of capital on the sidelines and waiting for that regulatory signal okay ready to go into the water and it could be a very strong moment for the crypto markets. >> when do you think it does i ask that because we're getting more commentary and rhetoric and more officials nominated to posts within the biden administration that could have a role in this as well. what does the timeline look like >> i wish i would say it's tomorrow i think it's going to be a year-long story with peaks and troughs. i think, you know, one mile post is a potential bitcoin etf approval in the middle of this month. the market will likely price that in ahead of that approval if it thinks it's going to happen this regulatory story is going to play out over the next year what happened last week, which is really important, is that the left tail of potential

you saw the secretary of state, the pentagon, defense department, jamie dimon, larry gensler, everybodyout of the woodwork. i think dick cheney might have weighed in at one point. they are not in a position to mess around with the debt ceiling. it is not for smalltime political football, and they got a very serious message yesterday from all of those leaders. it was nice to see some sort of establishment political really function. tom: there was the rule in 1979. what is the treyz rule of 2022? what is the new folly? henrietta: my mantra is they are not going to do anything until they absolutely have to, so they are going to find ways to get around deadlines. one of my colleagues >> to say they are both the players and the referees in this game of congressional football, so when they don't want to play a game, they literally just set up a new goal. my mantra in this cycle with 50 seats split in the senate, they are not going to do anything until they absolutely have to. they are negotiating something really difficult at the leadership level, which is to figure out how long the duration

headlines that i think have lent themselves as tailwinds to these markets, notably in the last few days gensler, the sec saying he does not in fact aim to ban all cryptocurrencies. some people interpreting his remarks as being bullish for the possibility of a bitcoin etf. a few tailwinds to point to, but as ever in these markets, there is a lot of mystery to the movements. caroline: talk about the overall flows you are seeing or hearing of that are happening between bitcoin and if the area him and other -- and ethereum and other protocols. how much are we seeing institutional and retail money take more protocols more seriously? jill: when i speak to institutional flows, that centers around bitcoin and it theory him -- and ethereum, bitcoin being the blue chip the gold. increasingly we are seeing interest from institutions in moving sort of down the ranks of the crypto ecosystem to get access to other layer one protocols, many of which are coming and nipping at ethereum's heels in terms of developer adoption and end user adoption and so forth. there you have the likes of solana, slow ventures is

gary gensler on a collision course with some of wall street's biggest names as his plans for overhaulingreet take shape. elaborating on a report scrutinizing january's meme stock craziness, he said using adler is then's to boost trading hurts returns. he spoke on an interview for the david rubenstein show recorded monday. >> whether it is a robo advisor or a brokerage app, they figure out by giving you, david rubenstein, a certain signal, a color, a behavior prompt, that you might trade more or you might buy a higher revenue product for them. therein lies the potential conflict. what do we do when the digital algorithms are maximizing for the company's revenues rather than our returns? emily: you can watch the david rubenstein show wednesdays 9:30 new york time. coming up, mark zuckerberg responds to comments made on bloomberg technology by an early facebook investor. what he had to say, next. this is bloomberg. ♪ emily: two of the world's most valuable fintech startups are joining forces. strike will allow retailers to add corn a bank's buy now pay later service as a purchasing tool. th

here we have to bear in mind it is a very big if we could see yet another delay in the decisions gensler does seem to like to batch his delays as well we're asking what probability do you give of a u.s. approval of a bitcoin etf in october and the vast majority said 25% or less but we're seeing in the markets yesterday not everyone shares that opinion. >> two developments there that i know crypto holders are hoping for. we appreciate you getting up early. thank you for joining us on wex. have a great day. >> thanks, brian. >> you're welcome. >>> on deck, your morning rbi and one big reason you should be happy you live in america right now. >>> plus why kerry firestone is using history as a guide when it comes to spotting her next buying opportunity. >>> dow futures up 160 back with kerry after this ys and all their devices. or it could be the day there's a cyberthreat. only comcast business' secure network solutions give you the power of sd-wan and advanced security integrated on our activecore platform so you can control your network from anywhere, anytime. it's network management redef

we will hear from gary gensler. want to hear what he has to say about assets as crypto posts a 30% gain just this month. it heads to a new record high after the advent of the trading etf that focuses on bitcoin futures. at 10 a clock a.m., u.s. september existing home sales. when we talk about inflation and consumers'a pp -- and consumer'' appetite to buy, this is what we are talking about it. if you are an entry-level buyer, but can you afford to get? this is going to bleed out into more and more products as we see those inflationary pressures continue to build. jonathan: higher prices starting to hurt demand. thank you. here's the story for the turkish lira. weaker, weaker. dollar trying a record high. your turkish lira weaker against the u.s. dollar by 2% and change. we were looking for a 100 basis point cut. the turkish president maybe wanted a 200 basis point cut. i am going to talk about execution in the stock market. these two names right here, goldman and unilever. goldman, you talked about the upgrade to th

by the way, i first heard this from the sec chief, gary gensler. he taught it to me, i don't know, probably 20 years ago. you call and tell me your top five holdings and i will tell you if it's diversified enough first up is a video caller nadir. >> caller: boo-yah, jim. this is nadir calling from beautiful oakland, california. sorry for the cowboys t shirt and thank you for all the information you send us on inve investing. my top five holdings are google, invidia, microsoft, costco, and united health. am i diversified, jim? thank you. >> nadir, i'm kind of blinded by the light there, the star. but that's all right i'm a forgiving person i'm a kind man, good man not unlike marlon brando here we go nvidia, the greatest semi conductor company of our time. costco, perhaps the greatest retail experience of our time. you've got to try -- i'm not kidding/shrimp dish. even better if you go to the left they've not some incredible white fish salad microsoft, uh-oh okay united health is perfect they did of course blowout the quarter. nvidia, google and micr

liz: i find it really important that gary gensler is out to protect investors, i think that is greatder protecting anybody. they think that he's protecting them and he's throughout all their conspiracy theories. they think he's going to end florida flow, he's gonna bring down can e.g., he's not doing anything that report, the markets are working fine there's no conspiracy theories and no manipulation. liz: the eighth have muscle. , cut them off before he starts. take them off. eighty-three-dollar oil, inflation the supply chain, labor shortages that could be a deadly combination for wt 40 the lubricant company and the ceo plans to tackle the horrible headwinds, gary is here to reveal it in of fox business exclusive. it does not look like wealthy and all-time record close is up 120 points, the s&p still have a chance? we will keep an eye on it. stay tuned. ♪ certified turbocharger, suspension and fuel injection. translation: certified goosebumps. certified from headlamp to tailpipe. that's certified head turns. and it's all backed by our unlimited mileage warranty. that means unlimite

you're going to see institutions and actually in an interview this morning with sec chair gensler, heabout that. that certain institutions that have to follow the investment act of 1940 now you know, can invest in a future, but they couldn't invest in pure bitcoin asset class. >> right let's drill down a little bit more on coinbase you are sort of high on the street in terms of your estimate for earnings i guess the consensus is above 47 you are at 208 why do you think they're going to do so much better than your peers do >> what you pointed out, higher is exactly correct we monitor volumes we think that volumes are going to be better than anticipated. i think coinbase, the numbers have come up when we first went out with our number about a month ago, overall estimates have come up 6% so they're certainly moving our way. i'm not sure whether other analysts, what they expect on expenses, but we think we've got a pretty good feel for their volumes and that's the main driver of coinbase's revenues. >> and while they largely still trade with the price of bitcoin, they made this big announ

gary gensler testifying before the house finance committee. that is worth paying attention to.iden speaking on infrastructure in michigan. that was the delayed speech from last week. we have the eu council dinner in slovenia focusing on china. alix: i am interested in that dinner. it feels like europe is stuck between a rock and a hard place when it comes to china. tomorrow esther george will be speaking. or as johnson speaking. the tory conference. eu leaders balkan summit as well. a little geopolitics into little eco-data. coming up on television, heather boucshey joins balance of power with david westin. david is in d.c.. here guy and i are going off to radio. the cable on dab digital radio. this is bloomberg. ♪ >> from the world of politics to the world of business, this is "balance of power" with david westin. ♪ david: welcome to this special edition of "balance of power" coming to live from capitol hill to our bloomberg and tv and radio audiences worldwide. we have come to washington because this is where all of the action is. we will set the stage by turning to our two c