Important Highlights
- Howard Lutnick’s appointment as the US Secretary of Commerce was confirmed by the Senate with a 51-45 vote.
- As a Bitcoin supporter, Lutnick aims to pursue Trump’s tariff strategies.
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Howard Lutnick, the ex-CEO of Cantor Fitzgerald and a vocal supporter of Bitcoin, secured Senate confirmation for the role of commerce secretary with a 51-45 vote on Tuesday. This positions him to spearhead President Donald Trump’s trade initiatives at the Department of Commerce.
In his capacity as commerce secretary, Lutnick will manage 50,000 employees who are accountable for economic statistics, census processes, and weather reporting. He is expected to work closely with trade negotiator nominee Jamieson Greer to advance Trump’s import taxation plans.
During his confirmation proceedings, Lutnick dismissed worries regarding the inflationary effects of tariffs as “nonsense” and advocated for broad tariffs to be applied “country by country” to compel nations to lower barriers against US exports.
This confirmation arrives alongside Trump’s unveiling of plans for “reciprocal” tariffs aimed at reciprocating other nations’ elevated tax rates on US goods. The administration has already instituted a 10% tariff on Chinese imports and escalated taxes on foreign steel and aluminum, with threats of 25% tariffs on Canadian and Mexican products, currently postponed until March 4.
Lutnick successfully guided Cantor Fitzgerald through recovery efforts after the September 11, 2001, attacks, which resulted in the loss of 658 of the company’s employees, including his brother. He is also on the Board of Directors for the National September 11 Memorial & Museum.
A Advocate for Bitcoin and Stablecoins
Lutnick is a staunch supporter of Bitcoin. The 63-year-old entrepreneur has consistently shown admiration for Bitcoin, likening it to gold and promoting its unrestricted global trade.
“Bitcoin is akin to gold and should be freely traded worldwide,” Lutnick remarked at a Bitcoin conference earlier this year. “We’ll strive to facilitate this.”
Lutnick perceives Bitcoin as a limited and precious asset. Under his guidance, Cantor Fitzgerald launched initiatives, such as a $2 billion Bitcoin financing project, reflecting his commitment to incorporating cryptocurrency within traditional finance. Last year, Lutnick publicly expressed his preference for Bitcoin in a CNBC podcast, asserting that alternative coins “are just not significant.”
He has critiqued the regulatory ambiguity surrounding digital assets in the US and pushes for transparent policies to favor the mainstream acceptance of Bitcoin among financial institutions.
Lutnick also endorses various crypto advancements, including USDT and USDC stablecoins.
Cantor Fitzgerald manages Tether’s US Treasury assets which back its USDT stablecoin and has recently initiated a $2 billion Bitcoin financing program. The firm notably acquired a 5% share in Tether valued at approximately $600 million, as reported by the Wall Street Journal.
After his confirmation, Lutnick stepped down as Chairman and CEO of Cantor Fitzgerald, selling his business interests to meet government ethical standards.
