The cryptocurrency industry's influence on US regulation is so significant that it's forcing CFTC nominees to publicly complain.

A disagreement over regulatory enforcement has escalated into a head-on clash between the cryptocurrency community and US regulators over personnel appointments. On Wednesday, September 10th, Brian Quintenz, President Trump's nominee for Chairman of the Commodity Futures Trading Commission (CFTC), publicly accused the Winklevoss twins, founders of the cryptocurrency exchange Gemini, of interfering with his confirmation process. That afternoon, Quintenz posted multiple tweets on the social media platform X claiming that the Winklevoss twins had contacted Trump to request a halt to his CFTC chairmanship nomination. He shared screenshots of a July conversation between him and the twins on the encrypted messaging platform Signal as evidence of his accusations. The conversation shows that Tyler Winklevoss shared a complaint letter to the CFTC Inspector General with Quintenz, criticizing the agency's enforcement division's actions in the 2022 lawsuit against Gemini. When the Winklevoss brothers asked Quintenz to comment on their allegations, the latter refused to make a clear statement. Quintenz wrote in a tweet: "It is my understanding that after this conversation, they contacted the President to pause my confirmation process." He said that although the Winklevoss brothers raised other reasons for concern to Trump, the president "may have been misled."

During the conversation, Tyler Winklevoss expressed his disappointment and surprise that Quintenz was not aware of the relevant complaints, and expressed his willingness to raise the issue directly to the president.

Quintenz was nominated by Trump to serve as Chairman of the CFTC in February of this year. The dispute stems from the enforcement lawsuit filed by the CFTC against Gemini in 2022, accusing the exchange of making false or misleading statements on matters related to Bitcoin futures contracts. The case eventually ended in a settlement, and Gemini was fined $5 million.

The Winklevoss brothers have long been dissatisfied with the fine. It is worth noting that Gemini plans to conduct an initial public offering on Thursday. The CFTC's Enforcement Division is undergoing a major shakeup. The Financial Times, citing sources familiar with the matter, reported that the CFTC has fired, demoted, and forced out several enforcement officers in recent months, including several officials responsible for the Gemini case. The dismissed senior officials reportedly include Deputy Enforcement Directors Manal Sultan and Robert Howell, as well as Chief Litigation Counsel Alejandra de Urioste and Brent Tomer. These officials led the enforcement case against Gemini in 2022. Sources familiar with the matter revealed that some employees received 60-day notices in July and will officially depart in the coming weeks, while others have been transferred to non-enforcement positions. The CFTC responded by stating that the layoffs are part of a restructuring aimed at reducing unnecessary reporting lines and freeing up staff for the new division. But the agency did not comment on specific individuals or cases.