still to come, we have a big interview this morning with sec chair gary gensler you don't want to misssler's first exclusive. we'll be right back. >>> good morning cue the countdown clock. less than 90 minutes to go for the april jobs unemployment report >>> big bets paying off. the ceo of trim national joins us to talk about the rise in sports gambling. >>> plus, nyse president stacy cunningham on the big board's big reopening plans. the second hour of "squawk box" begins right now >>> good morning welcome back to "squawk box" right here on cnbc i'm andrew ross sorkin along with becky quick and joe kernen this friday morning. u.s. equity futures looks like we'll open up higher dow up 78 points nasdaq up 33 points. s&p 500 up about 9 points but all of that could change because today is jobs friday we'll be getting that big number at 8:30. we'll see what that does to the marketplace. in the meantime, a couple of big headlines to bring you peloton saying the just announced recall of those treadmills will cost $165 million. it lowered its profit and sales forecast for the years as tread m

much more on gary gensler throughout the show. president biden leaving lake charles, louisiana, just moments ago. but while in the bayou state, the president said that he would like to see the corporate tax raised from the 21% that it currently is -- and it was reduce thed to by former president trump back in 2017 -- back up, and this is the change here, between 25 and 28%. he had originally said 28%, but now it appears a there's soming wiggle room. president biden saying the extra hundreds of billions of dollars coming in from that would, quote, help pay for things like infrastructure. meanwhile, vaccine maker stocks are tunnel untiling after what president biden -- tumbling after what it said yesterday, supporting waiving patent protections from the pharmaceutical companies' covid-19 vaccine formulas so they can open it up to the rest of the world. scientists say that would in turn help slow the spread of covid-19 in countries like india, but manufacturers say exposing their formula will cost them billions of dollars. to blake b

this was not a gamestop hearing, this was a gary gensler hearing. he was asked to talk about climate change and forced arbitration among financial firms and companies at large. those are well beyond what happened in january, in your hearing a push about social media, the way the sec can start to get into technology, he is not going to start doing that alone. let's see if washington can put things aside and work together when it comes to reforms the industry is actually looking for. citadel securities actually put out a paper on monday for proposals to the sec. >> i feel like wall street working together, there's probably a better chance of that there washington working together, but i admire the optimism. i do think he did incredibly good job with dealing with the questions. often people in congress don't know exactly what they are talking about, and it can be very frustrating for an expert in these areas. he was incredibly congenial, collaborative. he has worked with many of these officials before. they seem to like him. >> that something he said a

sec chairman gary gensler will be testifying. remarks, he said it hasn't legations for robinhood and the likes of citadel. joining us is the cio for qvr advisors, benn eifert. what do we expect? benn: we expect him to go through the wild swings we saw in gamestop and other stocks in late january, and basically here what he thinks for the first time the sec -- the first time what he think the sec should do in response. this is his first time facing lawmakers since he started the job, so i think we can expect them to be asked simply tough questions about does he think that some of these market-making firms, you mentioned citadel securities and some others, but he things about the role that they play in the stock market. we are getting into some weedy territory for equity markets that aren't often talked about in washington and a kind of high-profile venue, but thinking back to earlier this year, this gamestop story, the wall street versus main street narrative, it was national headlines, and i think lawmakers are still hearing from

sec chairman gary gensler told lawmakers his agency is examining the role of social media platforms onket volatility i'm not concerned about regular investors exercising their free speech rights >> more concerned whether bad actors that actually take advantage of influential. >> platforms gains are says the fcc plans to release a full report on the unprecedented events surrounding gamestop stock this summer in washington. i'm anna wiernicki. still ahead on the kron 4 morning news would get a covid vaccine. >> if you got paid in cash. what a new study revealed about that type of incentive. welcome back to the kron 4 morning news and harvey lets get another check of weather with john shrable who's tracking. we can whether we have a very special holiday this weekend is not right, john. yeah. mother's day on sunday. and it's looking like a warm one for mother's day. so. >> maybe a brunch earlier on in the day. if you're playing and getting outside at least good chance to enjoy some sunshine not just over mother's day but really the entirety of the weekend. and if you like a cooler feel to

just moments away from sec chairman gary gensler testifying before the house financial services committeeng. the u.s. payrolls report for april. apparently there's a trade being put on that sees weekly tenure options targeting a drop in yield by 1.5. jobs being the risk event. guy: yes. a big day tomorrow. a really big day. we have great coverage lined up. earnings out from iag, bmw down tomorrow. coal is out tomorrow. in terms of what is happening today, the german health minister talking about the fact he will offer the astrazeneca shock to all age groups and offer all teens a vaccine by august if approved. that pushback from angela merkel also -- if you have the pictures of the new falcon jet. will finish on the airplane before we go to "balance of power" with david of weston. we do not have the picture -- with david westin. we do not have the pictures. ♪ [ sigh ] not gonna happen. that's it. i'm calling kohler about their walk-in bath. my name is ken. how may i help you? hi, i'm calling about kohler's walk-in bath. excellent! happy to help. huh? hold one moment please... [ finger snap

gary gensler sending his strongest signal yet that the wild trading in gamestop could lead to new rulesor online brokerages and firms that dominate the business of executing stock trades. he said popular trading apps encourage retail investors to buy and sell more frequently, something that can trigger lower returns. foreign ministers from the group of seven nations are singling out china's treatment of its uighur minority and has spread some concern over russia's buildup on ukraine's border. following two days of talks in london, the ministers have said they are deeply concerned about human rights violations and abuses. the g7 is also pointing the finger at russia for undermining other countries' democratic systems, malicious cyber activity, and use of disinformation. jeff bezos' blue origin is setting the date of june 20 four its first mission, carrying humans into space. -- for its first mission. it is competing with elon musk's spacex and richard branson's virgin galactic. i'm mark crumpton. this is bloomberg. romaine: all come back to "what'd you miss?" -- welcome back to "what'd y

>> reporter: gary gensler told the house financial services committee that specifically the rise andexperience played a big role in the volatility. he has directed staff to see whether expanded enforcement mechanismings are necessary. mechanisms are necessary. >> the sec must remain attuned to rapidly changing technologies with an eye to freshening up our rule set where appropriate to continue to achieve our mission. if we don't address this now, the investing public -- those saving for future retirement and education -- may shoulder the burden later. >> reporter: now, gensler went on to say that apps with behavioral prompts like notification, they have social trading, that could affect decisions outside of the fundamentals. gensler says the sec will deepen its understanding, resources and capabilities around social media adding that there are dangers of wrongdoers hyping a stock that may not warrant investment. gensler also saying that our modern economy is leaning toward market concentration like google for search and amazon for shopping, and he wants to see what that means for cle

gary gensler yesterday talked about a very ambitious agenda for the securities and exchange commissionief who was forced to resign, he doesn't have a head of market regulation, he doesn't have a general counsel. he doesn't have these key positions filled to do much regulating. so even if you think that crypto regulation is coming which everybody's talking about, you know, gary gensler does not have the voices to really do the anything significant. he has staff, but he doesn't have those sort of policy people under him chosen, which is huge in an agency. and you can say that with treasury, with doj and down the line. and that's what's holding up i hear telecom deals, where's net neutrality, liz? that was supposed to -- the biden administration was supposed to bring that back, but they can't because the fcc chair is not in place. it's a lot of unfinished business here more than 100 days in, and it's really gumming up the pipe ifs of business -- pipes of business, particularly business that interacts with government. and the tiktok deal is just one deal, but, you know, it's a major one. i

sec chair gary gensler promising to do more to help the individual investor make it an even playing fieldthink it's fantastic. that makes him my winner of the week. want to bring in district media president beverly hall burg joining me now. i'm sure you read what gary gensler talked about, and he's pushing back against, you know, he wants transparency, he was shorting, you know what, pay for play, the payment for order flow, i think we may see some legitimate changes here that will help the individual investor. >> i agree with you. i think this is important. we need to make sure the individual investors are treated equally and fairly. this will also encourage individual investors to do more in the market, so i think this is a good move, and i think when it comes to financial markets, we're going to need a lot more moves like this that focus on the individual and not just the big firms. charles: all right. i'm going to rapidly go through some losers, get your thoughts, and then i'm going to ask you for your winner or loser of the week. first, we've heard all youtube millionaires, tiktok mi

we have the honorable gary gensler, the recently confirmed chair of the u.s. securities and exchange commission. this is chair gensler's first time appearing before the committee in his current capacity. he has previously served as chair of the commodicommodities futures, trading commission, and in several senior roles as the department of the treasury. next we have mr. michael bodson, president and chief executive officer of the depository trust and clearing corporation. finally, we have mr. robert cook, who is the president and chief executive offer of the financial industry regulatory authority. without objection, your written statements will be made part of the record. each of you will have five minutes to summarize your testimony. you should be able to see a timer on your screen that will indicate how much time you have left and a time will go off at the end of your time. i would ask you to be mindful of the timer and quickly wrap up your testimony if you hear the chime. chair gensler, you are now recognized for five minutes to present your oral testimony.

what you need to watch >>> sec chief gary gensler heads to the hill for the final gamestop hearing we'llssible trading rule changes and what it could mean for investors. >>> plus, tech investor joe lonsdale calling the president's tax proposal nonsense. he joins us with his thoughts as the second hour of "squawk box" begins right now >>> good morning and welcome back to "squawk box" right here on cnbc. i'm andrew ross sorkin along with becky quick and joe kernen. showing u.s. equity futures at this hour, the dow, the s&p and the nasdaq all up. dow up 16 points, nasdaq up 23 points and the s&p 500 up a little over 3 points a couple of big headlines to bring you this hour on our watch. uber shares, they're falling in pre-market trading uber did report a smaller than expected loss but it missed revenue forecasts and uber signaled that it will have to increase driver pay to get more cars back on the road as the economy recovers we've talked about this. you start to see prices creep up as well as a result. don't miss uber ceo dara khosrwshahi who will join us in the next hour to talk all abou

new information on i.t the white house says they're unified for something like that, as well as gary gensler judge." >> welcome to "the halftime report." stocks, the dow hitting another new record today where is your money heading in the months ahead that is the big question joining me for the hour today, courtney gibson, the cofounder and managing partner of new edge good to see everyone, i'll show you the wall, the new record high for the dow today two better than one. 70 for the dow, 34,402

new information on i.t the white house says they're unified for something like that, as well as gary gensler. it's time for "the judge." >> welcome to "the halftime report." stocks, the dow hitting another new record today where is your money heading in the months ahead that is the big question joining me for the hour today, courtney gibson, the cofounder and managing partner of new edge good to see everyone, i'll show you the wall, the new record high for the dow today two better than one. 70 for the dow, 34,402, the s&p not that high from it's own high, about 40 points. nasdaq hitting a losing streak that is going on on pace for the worst week in a couple months. it dipped negative,josh brown what is going on in the markets here do you think? >> i think that markets are -- market participants are starting to anticipate the idea of an economy that is supported by it's own inherent growth engines and not reliant on federal growth stimstimulus. i think the fed will have to make an off-handed remark about tapering asset purchases unfortunately there is no great way to come out and say it berna

at 2:00 p.m., gary gensler testifying. interesting to hear what he says about crypto, how much they're going to regulate bitcoin. we have heard from increasing number of congress members who are concerned about some of the volatility we have seen. at what point will this rise to action? it seems like near-term rather than in the distance. jonathan: why can't all governors be like governor or of new zealand? "these are highly conditional predictions, talking about the second half of next year, who knows where we will be?" isn't that refreshing? "who knows what is going happen next year?" tom: looking out, maybe three or six months, maybe a new induced view on gdp. jonathan: central bank governor being open and honest about an inability to predict the future. howard, what an important transition point for this economy. as you pointed out, peak growth is who potentially and we are about to make this transition from recovery to expansion. how do you think about that dynamic? how important is it? howard: first of all, you have

chairman gary gensler says they are ready to take on cryptocurrency speaking at the financial industry regulatory conference, gensler said they should be ready to bring cases involving issues with crypto, cyber and fintech. his aim is to ensure bad actors are not playing with working families' savings and rules are enforced aggressively and consi consistently wants to let people know the sheriff is in dtown particularly notifying the reddit crowd >> $59,500 to $30,000 in eight trading days for bitcoin that, bertha, is volatility. bertha coombs, thank you see you in a few minutes. >>> let's get more on the markets and your money and your first get today says don't confuse the recent ups and downs, volatility, with the big change in where things may be headed long term and the real driver joining us now is michael bucella. a crypto and block chain investment firm. michael, welcome a good friend of the show, penned an op-ed where he said despite the volatility in crypto, we should take positives away from the big moves because the exchanges and defi actually acted like they should have. t

tyler that soon day-to-day on gary gensler, this is rock you're going. the can hear stair to market to and comes somewhat insulated behavior early addiction. you start to find that you will return down. i think it is an important favor. >> that is music to my ears. thank you so much. we will continue to work with this. also on this committee, will look a lot at the industries that have a is this model were people are not actually be customer that they count on. from student loans to credit reporting services, we consistently care about those businesses we have gotten a lot from consumers. it's free cleaning this is a similar situation. the customer really is -- and i think consumer is self. we got enough transparency. i've been back and forth with robin hood ceo on this. we're still waiting to see that covered. . wondering if that is something you consider including dating those rules. i've asked staff consider in terms of what should we do. the data is very valuable. what we find in our online life, if you're not paying, and is off sony else's hitting d

sec chair gary gensler came out yesterday and indicated a willingness to regulate the likes of robinhood and said adele more closely as a result of some of the turmoil -- and citadel more closely as a result of some of the turmoil. the fed is going to release a document on financial stability. this is the f--- this is the f-word of the day, froth. jay powell did indicate how they are keeping and i on this, and eric rosengren pinpointing the market in particular. this could be behind some of the dissonance in the market, with discipline reigning supreme. the bond market is very much steady as they go. the real negative yield going further into negative territory. the question to me, how much are investors expecting the fed to curtail some of the suppose it froth that some people say could be in equities? jonathan: lisa's f-word for the fed speak, froth, not the other one. tom clearly had a fantastic cinco de mayo yesterday evening. the numbers just out. let's go through those numbers. moderna -- moderna numbers just out. let's go through those numbers. first quarter revenue, $1.9 billion.

alix: gary gensler testifying. we also may have banks he is talking about it. getting pushback.ill be coming up later on. date two on capitol hill. today it is the house. we are taking that live at the top of the hour. that is not far away. a quick preview as to what data still looks like. that is next -- what day two looks like. that is next. this is bloomberg. ♪ >> how did we end up here where ceos are making 900 times what some of their workers are making >>? we are proud of the opportunity we give to all of our people. my compensation is set by the board. they look at multiple factors. that is how it takes place. >> will each of you set an example to any other company in america, companies that usually follow wall street's lead, by pledging to remain neutral if your employees want to form a union? >> we would work with our employees to make sure their voices heard and do everything they can to ensure that voices loud and clear. >> we would be supportive of our employees have a guess opportunities as they can. >> we would allow them to have their voice heard and see what happ

is this a preemptive gary gensler crackdown on bitcoin derivative thing?this is really part of the regular course of the blithe scale of grayscale products. we often work to launch our products, get them into the public market, get them to be sec reporting, and then we believe our products will be able to become etf's. so far, the grayscale bitcoin and ethereum trust are the first two and only two sec reporting companies that are digital currency investment instruments. so if the digital large-cap fund is deemed effective, it will bring that level of transparency in reporting that we think investors are looking for, and quite frankly, they deserve as they are trying to navigate digital currency investment. guy: in one way, i can buy bitcoin cheap through you because you traded a discount to the price. do you think if you convert to an etf that that discount will close? michael: it is our belief, looking at the arbitrage mechanism built etf's, that any discounts or premiums of where shares may trade relative to the product would be arbitraged away. so there

jonathan: that was gary gensler, the u.s. securities and exchanges commission chairman. keene and lisa abramowicz, i'm jonathan ferro. equities down eight on the s&p, we declined 0.2%. yields higher on the tenure to 1.5977%. -- the 10 year to 1.5977%. here's a story that has really changed in the last 12 months. the high of the year on dollar china was exactly one year ago. we had a seven handle. right now we are at 6.37. it has been a severe move to the yuan's favor. we have been waiting for commentary from the pboc, and they say the following. "the current fx market is balanced. it cannot be used to offset commodity price increases. we can't let it strengthen to impact the commodity market. it cannot be used to spur exports either." what's interesting about this is the s-word is missing, stability. this is a chinese central bank looking for stability. i don't see it in this particular release, though. tom: out of error hong kong news bureau, they have really written this up smart -- out of our hong kong news bureau, they have really written us up smartly. enda curran j

at 2:00 p.m., gary gensler testifying in front of the house financial services and government committees. the question is on bitcoin. how much is the sec going to come out in crypto assets and try to crack down or have oversight as volatility continues to pick up? i don't know how much it is imminent, but the pressure is rising. jonathan: thank you. if you are just tuning in, in the previous hour i actually quoted the dow. tom, i will afford you some time to quote the dow this morning. tom: i think it gives us a great historical perspective. jonathan: sometimes. [laughter] tom: i really think going over 125 years of the dow, dow jones, "the wall street journal" don't own it anymore, but the good of the change of amazon. will amazon split so they can enter the dow? that is a huge debate now among those in the know. but seriously, there were not one, but two seven your periods where the dow didn't change its makeup. jonathan: the conversation i have another phone daily, will amazon split to get into the dow jones. tom: why do you say the dow doesn't matter? jonathan: i'm joking. lisa: that

policy, and the only place where you do have a chair is one of the few places you have a chair is gary genslers not a priority of the biden administration that's come up with a crypto plan so it's going to come. it's unclear what it's going to be, how difficult, how tough it will be, and one other thing i will say, neil. there is a whole thought in the crypto industry as opposed to regulations quashing it. there's that thought out there. the other thought is that if you come in with some broad regulation that doesn't totally out law bitcoin which a lot of people doubt is going to happen, you know, it's probably long term good for the crypto business, because you are sort of legitimizing and normalizing cryptocurrency which janet yellen has deemed in the past, she's been very critical saying that bitcoin is used for drug transactions, so we're going to, tomorrow is going to be a big day and depending on what he said, gensler could move the bitcoin market if he talks about a very strict crackdown enforcement on bitcoin , but again, this is still like way up in the air, and it between a couple of

there was prepare testimony to the house, gary gensler saying the new rules will address material disclosures continue to surge. gensler warned his watchdog agency has seen overall staff declines also since 2016. once again though these rules are so far just under consideration. on this i want to bring in ladenburg thalmann asset chief phil blancato. phil, this whole spac thing they have come down a lot. people are questioning the structure where the folks involved up front take out a lot of money. the spacs i have tried my hand, i have gotten hammered on them. there is no support in the after the markets. it has been a rough ride for them. should there be more regulations? >> more regulations but don't get rid of the asset class. i will disagree with your earlier guests. i think it's a great market. here's why. think of us how many had opportunity to be in an ipo. show me an asset class i get a free look, cash should 10 bucks should never trade above or below it, income, upon the announcement after vote i can get out of it, if i don't like i don't need to own it f i do my due diligence, what

sec chairman gary gensler told lawmakers his agency is examining the role of social media platforms onmarket volatility i'm not concerned about regular investors. exercising their free speech rights online. >> more concerned whether bad actors that actually take advantage of influential. >> platforms gains are says the fcc plans to release a full report on the unprecedented events surrounding gamestop stock this summer in washington. i'm anna wiernicki. the latest. first time jobless claims those numbers now the lowest since the start of the pandemic, the labor department released unemployment figures this morning. it shows 498,000 americans filed first time claims that's down. >> nearly 100,000 from the previous weeks. analysts say while the job market has a long way from prepandemic levels improvements have accelerated in recent weeks as states continue to lift restrictions. up next, the secretary of state has finalized the number of signatures on new sums recall petition. >> why recall organizers are feeling good as we wrap up the week. and after the break, we start off our asian pa

charlie: one of the things that gary gensler is going to look at as the new sec chair is spac and whethery on the name, and so what we're hear ing now from the securities and exchange commission, at least people close to them are telling the fox business network and those are some of the celebrities. we got a-rod, shaq, serena, i guess we got a lot more coming as well, but we are hearing now is that they maybe looking very deeply at the celebrity spacs including disclosures of relevant business and investing experience. funny, liz, someone just tweeted at me a guy named contrarian short says a- rod was on shark tank a few times, does that count? i don't think so. i don't think the sec cares too much about that. what's interesting about this is that the sec is very weary about these celebrities that aren't great investors lending their names to this and people start rushing in, and they maybe requiring a lot more disclosure. for example, what does shaq know about investing? you know, -- liz: a lot, hold on. charlie: maybe he knows but they have to disclaim. is he a big time investor? here

>> now that gary gensler is head of the sec, he is bitcoin friendly. we know that.lass, courses at a mighty -- at m.i.t., and i think the research professionals at the sec understand bitcoin in particular and i think are much more comfortable with it now that we've had several years to digest what exactly it is, go through a bear market, go through a bull market. i think watching the ecosystem evolve and actually become even more anti-fragile, we are getting some real tests here, and if the system doesn't break, and i don't think it will, i think their comfort will increase and a couple of ways. number one, the infrastructure there is robust. number two, the liquidity is there. i don't think that is going to be disproven here. number three, the price is down from very lofty levels, so why not start an etf after a correction in the market than before? so i think the odds are going up now that we've had this correction. i don't know if it is going to be this year or not. we hear perhaps fourth-quarter, but we heard third quarter before that, so as we get closer to the

moments ago at a house financial services committee hearing gary gensler, the chairman of the securitiesn to give us a sense of who he might be hunting when it comes to more regulation.

i think the good news for the industry is gary gensler is incredibly knowledge basketball this he's taughtd tom, to your point, i think we need that regulatory clarity i happen to agree with you about two years ago i spoke very publicly, three years ago i spoke very publicly about the fact that icos, initial coin offerings sound like an ipo. i view that as bad for the industry that's a very different fact pattern from what we saw in how xrp was created, how ripple, separate company was created i think the sec as mary joe white saying the sec's wrong on the facts on this. >> hey, brad it's andrew here separately can you speak to the large ger cryptocurrency craze that it feels like we're seeing? maybe it's a craze, maybe it's not in terms of dogecoin, just how far it's gone, what we're seeing with bitcoin in terms of how volatile that's been and sort of the larger market, where you think ethereum is? >> yeah. >> if you were not invested in ripple, where would you be invested if you were going snob. >> well, andrew, first off, i do think dogecoin is an example of some of that speculative, i'

causing the irs to be unsure, you have to check off a box whether you did bitcoin, and i think gary gensler has so much on his plate, who knows >> so much. >> david, this thing, this is not a meme, david, this is a major business, and a lot of these entities are paying 6% interest, if you hold bitcoin. 6% how are they able to afford that isn't that almost like glen fed, remember the old days of glen fed, al fed -- >> charting it. >> you're getting it i'm getting 6%, on holding my bitcoin. i earn interest on it. i mean it's kind of like nirvana. >> the s.e.c., to your point has a lot on their plate, gens ler, looking at spacs, cryptocurrency, and looking at the gamestop scenario and what happened there there is no shortage of things for him. but thankfully is he thought of as a very rigorous fellow. >> they're kind of overwhelmed the previous guy - >> he needed a lot of staff. >> he needed staff. >> but the laissez-faire, i think gensler has to hurry up. >> what happens if there is a giant hedge fund, not unlike david, you know archegos, what if there's a fund that is $100 billion that was f

about when, this environmental issue is a big thing and what yellen and gensler eventually do, gary genslerere's a debate going on in the markets, and you know, the investor big into crypto, he went out and said, buy some today. just so you know, he sounded like that. remember that crazy tv commentator that used to say buy , buy, buy? we won't say who he is but anyway it kind of reminded me of that. david: crazy eddie is i think who you're referring to that's another one. well -- charlie: by the way -- david: let me just mention that gold has revived a little bit. is it possible that as we see gold go up a lot of people are going back to the old main stay against inflation? charlie: could be. we'll have to see where we end with this. clearly there's going to be a regulatory response. we have to see how tough it is, you know, how stringent it is, and because clearly, listen. look at it this way. put yourself in janet yellen and any bureaucrat's shoes. she was the head of the federal reserve. david: right. charlie: you have this whole side currency industry that takes away your power. david:

about some things on your plate you have a new administration here, a new head of the s.e.c., gary genslered recently in the house, a lot to say about gamestop, a lot to say about robinhood, a lot to say about retail trading, it looks like he's preparing a report on what he thinks need to be done regarding retail trading and the protection of retail traders have you had any input with his office or with him directly about how to proceed on that >> bob, we're constantly talking to the s.e.c. about our observations in the market, about what we're seeing. gensler has been in the seat for weeks and we are looking forward to working closely with the team closely as they analyze. it while the economy and the markets slowed down, well markets did not slow down. we were exceptionally bigger and the retail investor is a much bigger part of the market than traditionally and one of the things to recognize and we talked about protecting retail investors, there's two component, there's protecting them at the time they're making that decision to trade their order. and so influences on that might be onli

think that's going to be an issue for the third and the fourth quarter so today, big story is gary genslertestifying in front of the house financial services committee. this is the third hearing on gamestop the first hearing as the head of the s.e.c. the testimony is out already not surprisingly he's addressing game-ification of trading and payment for order flow and a big discussion whether the broker/dealers have conflicts of interest, whether encouraging more trading, and the more trading, the more they get paid, the conflict there, and the disclosure of short position, you don't have to disclose short positions unlike you have to disclose long positions. should people do that? and that's a big debate. you will hear a lot about that and he does address the archegos fallout to a certain extent, talking about whether there is a need for more regulation of swaps. i'll tell you what i find interesting about the written testimony. there is no specific recommendations. it doesn't say i am going to do this what he does say, time after time, is i am asking my staff for recommendations on what w

. >>> the chair of the securities and exchange commission gary gensler testified before congress about regulating retail stock trading to protect consumers from trading surges. he talked about how r

. >> well that's right, and what gary gensler is talking about is we actually have to have some regulatoryhatsoever and obviously as retail investors get more and more sucked into this thing, you know, the potential for losses is pretty severe, particularly because now, you're also encouraging or there's proliferation of derivative trading on bitcoin and other cryptocurrencies. you're not just talking about hundreds of billions or million s of dollars of losses. now you're talking some day trillions of losses. this is a pretty serious thing, so i imagine yes, we're going to have some oversight of it, whether frankly the authorities can really track transactions through cryptocurrency as efficiently as they pretend they can, really doubt and i don't think the chinese can do it either, so that's going to be a real challenge and i don't know where we come out on that actually. i don't know how that's going to resolve. jackie: i want to switch gears for a moment and talk about the broader markets get your perspective, mike after the minutes we got from the fed yesterday, but we have some encou

now, we are learning that sec chair gary gensler is making plans to crackdown on businesses governingas we've been seeing that lately that's where they're going with massive disclosures, you name it they are all over the place and preaching progressivism outright one of the reasons why they are doing is because they fear regulatory action from the securities and exchange commission which is wall street 's top cop and what we're hearing from sources close to gensler, is that he is, in fact, mounting a crackdown on whether companies properly disclose the sort of soft issues known as esg environmental social and governments, diversity, do you do enough to protect the environment? how are companies disclosing that and are those disclosures accurate? and he's what's fascinating about this , david, is that he's what i understand, he is starting cases, enforcement cases, around these issues concerning corporations, he hopes to bring a few cases to set sort of a marker down on what you should do and shouldn't do, in terms of disclosing and adopting these socially- progressive policies, and se

cryptocurrency, china cracking down, gary gensler at the sec looking at scams, janet yellen looking tos are not totally reflected in 37,000. so this is something, i think, you have to keep an eye on. you have to watch the regulation. you have to watch exactly what the regulation says. i don't believe we're going to go -- at least they don't believe, i should say, we're going to go the china route and ban it. jackie: right. >> but still it could be a bumpy ride down -- and, by the way, i'm not saying i agree with this, i'm just telling you, i'm reporting what they're telling me, big hedge fund investors, people that talk to us. you probably know who they are, i'm not saying my sources, but that's the best thing. so, you know, take it for what it's worth or ignore it. jackie: no, it got hot, charlie, and it ran up essentially on speculation and the market that's hot right now. what you're saying makes sense. >> right. now you have regulation that could bring it back, and they don't believe regulation is reflected in 37,000. jackie: all right. we'll be watching closely. charlie gasparino,

-- there's certainly going to be more regulatory scrutiny and the new chairman of the s.e.c., gary genslerchain and cryptocurrency. he actually taught a course at mit. so we do expect more regulation but, you know, in some ways more regulation will be good because protection of investors could lead to more trust as well and it's good to see that you have somewhat a -- this guy, i watched some of the courses are free online and i watched some of this courses. he is very knowledgeable of the space and you couldn't ask for a regulator to be -- to have that sort of background, so hopefully it will be a positive thing for the space rather than a deterrent or a detractor. maria: i want to move on to the gamestop craziness but before that, what is the growth story for coin base? where do you see the value coming from at coin base in the coming three years? >> yeah, it's the adoption of block chain technology, the greater penetration of bitcoin. not only are they the top retail brand but they're also growing institutionally. so the more people that adopt -- and we are seeing it, despite the tweets

s purview, i think that they have every reason to do it, but i actually think that gary gensler may sayifferent era, but i do think unless the s.e.c. says these are a buying group and they have to follow different rules i think that they have ever right to be able to say what they want, even if you and i may think it may be cockymamy. and there are some who say the hell is coming and the grim reaper and i don't know and they meant really well, the grim reaper and then they bought stock. i think it is actually nefarious than what these guys are doing >> jim cramer. you had a hell of a week i mean you go look at the lineup of what was on your show this week >> very kind >> have a fabulous weekend my friend. >> i want you to have a great weekend. and you know, i just love working you with, okay >> the feeling is mutual >> jim, see you in a couple of minutes with the gang. and coming up right after this, top stocks for your radar, as we make our way towards the opening bell stay tuned you're watching "squawk" on cnbc it's hard to hope, hard to cope with crisis. so we get to work. we mend, f

chairman gary gensler says they are ready to take on new cases involving cryptocurrency they should beer and fintech. his aim is to ensure the bad actors are not playing with working families' savings and the rules enforced aggressively and consistently andrew, it is probably not surprising to hear he is somebody who understands crypto really well caught those classes at m.i.t. about it and knows what he is speaking of. >> he does it will be interesting to see how they attack this and how they do it because they probably have to make determinations of how they define crypto as an asset or security. underlying issues they have to grapple with before enforcing it it will be interesting to see how he ultimately does that. >>> when we come back, a lot more on "squawk box. new york city real estate bouncing back in a major way we will talk about the reopening of the big apple and luxury real estate from new york's newest park little island. next at cdw, we get these new ways of working bring new threats. that's why we started an office commune. not a security concern around for 50 miles. un

the chairman of the securities and exchange commission, gary gensler will testify before the house financialbinhood, the he potential for the new sec rules on trading. in a prepared statement he says he's citing the gamestop frenzy as reasons for new rules. archgos planning to liquidate. mark, your reaction and what are expecting to hear? is this a market mover? >> i don't think so. the sec is looking for more transparency. they want more disclosure in response to the gamestop, reddit say a ga. when it comes to gamestop, there's nothing wrong with short selling. it helps to make the market more efficient. gamestop was shorted because its business model is structurally challenged. at the same time in time you shouldn't be able to short 140% of the stock on mixed trading. it's extremely goofy. the sec needs to take a look at message boards many i'm all for the he retail investor having a level playing field with the hedge fund mafia. i'm always rooting for the underdog. when i start to see high quality stocks that i hold for my clients bleed outperformance as money starts to leave the apples a