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Speaker 1: Bloomberg Audio Studios, podcasts, radio news.

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Speaker 2: FDIC chair Martin Gruenberg says he's stepping down after findings

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Speaker 2: of a toxic work environment put the regulator at the

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Speaker 2: center of a heated political fight that today led the

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Speaker 2: Democratic chair of the Senate Banking Committee, Shared Brown to

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Speaker 2: call for his resignation, and in a statement, Greenberg said,

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Speaker 2: in part, in light of recent events, I am prepared

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Speaker 2: to step down for my responsibilities once a successor is confirmed.

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Speaker 2: Joining us now for reaction is Congressman Tom Emmer. He

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Speaker 2: is the House Majority whip and a member of the

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Speaker 2: House Financial Services Committee. He is joining us live from

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Speaker 2: Capitol Hill. Congressman, thank you so much for joining here

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Speaker 2: at Bloomberg. Obviously, a number of members of both the

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Speaker 2: House and the Senate had called for this to happen,

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Speaker 2: now that he says he will indeed step down once

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Speaker 2: a successor is confirmed.

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Speaker 1: Who should that successor be.

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Speaker 3: Well, let's before we even get there, classic Marty Gruenberg. Yeah,

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Speaker 3: I'm going to step down, but not until Marty Greenberg

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Speaker 3: should leave the building now. He should have resigned weeks ago,

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Speaker 3: perhaps years ago, based on the hundreds of pages of

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Speaker 3: a report that showed this toxic work environment with sexual

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Speaker 3: harassment and all kinds of awful things with the employees.

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Speaker 3: And yet here he goes again, Hey, I'm going to resign.

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Speaker 3: I'm prepared to do that, but not until we have

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Speaker 3: a successor. Well, guess what, Kaylee, We've got six months left,

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Speaker 3: roughly six or seven months left.

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Speaker 4: Marty Greenberg.

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Speaker 3: Grienberg needs to go yesterday, So he should resign and

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Speaker 3: get out of there. I'm sure there are other capable people,

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Speaker 3: by the way, that are there that can pick up

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Speaker 3: the pieces and continue to run the FDI see in

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Speaker 3: a much better fashion than mister Grienberg did.

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Speaker 5: We spoke last week, Congressman with Senator Joni Ernst of Iowa,

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Speaker 5: who's up with legislation along with her colleague from New York,

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Speaker 5: Hereston Jilibrand, to essentially take away taxpayer funded pens from

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Speaker 5: sex criminals, people who are found guilty of sexual harassment

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Speaker 5: or so forth. Do you think that mister Groomberg should

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Speaker 5: lose his pension as well as his job.

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Speaker 3: Well, I'm not going to go there, because you do

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Speaker 3: have a court of law, you do have people that

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Speaker 3: are allowed to confront their accusers. The report is pretty damning, though,

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Speaker 3: I will say, Joe, and I think before I'm going

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Speaker 3: to take that step, you referred to.

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Speaker 4: Sexual harassment.

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Speaker 3: No, I think that bill applies to if you have

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Speaker 3: been criminally charged and convicted. That's a different animal. But

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Speaker 3: at this point that hasn't happened. He needs to resign, Joe.

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Speaker 3: He needed to go long ago, and he should be

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Speaker 3: stepping out now.

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Speaker 2: Well, Congressman, I guess we'll see what the future of

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Speaker 2: that bill is in the Senate. Meantime, there are a

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Speaker 2: few bills that have our attention in the House this

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Speaker 2: week that will be coming up for a vote related

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Speaker 2: to crypto, one of them being your bill that focuses

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Speaker 2: on cbdc's Central Bank Digital currencies. Other the Fit for

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Speaker 2: the twenty first Century Act, which is the Market Structure

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Speaker 2: Bill delineating what is the regulatory authority that the CFTC

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Speaker 2: should have versus the SEC. Congressman, I know this is

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Speaker 2: legislation you've been pushing, but it is also your job

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Speaker 2: to count the votes. Are both of these bills going

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Speaker 2: to pass on the House floor, Yes, they are, and

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Speaker 2: you have confliments that the Senate will pass them.

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Speaker 1: In return.

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Speaker 4: Well, I'm going to leave that to the Senate.

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Speaker 3: We have some champions over there who understand that we

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Speaker 3: are in the digital age, that it's time to bring

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Speaker 3: our financial system into the twenty first century. What the

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Speaker 3: FIT Bill is, it's referred to the Market Structure Bill

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Speaker 3: does is essentially start to lay out those ground rules,

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Speaker 3: the playing fields, so that people who innovate in the

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Speaker 3: digital space, people who are creating the next great Internet,

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Speaker 3: are able to do that here in this country. Up

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Speaker 3: till now, there has been no clarity, and frankly I

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Speaker 3: wasn't in favor of it to begin with until he

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Speaker 3: added My Securities Clarity Act, which literally allows a centralized

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Speaker 3: program to decentralize over time and then be treated differently.

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Speaker 3: So it's really important that we have this in place

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Speaker 3: in order to keep these innovators and entrepreneurs right here

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Speaker 3: in this country.

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Speaker 5: Well, it's interesting, Congressman, because we keep hearing the store

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Speaker 5: is closed. Now that we've gotten through the most recent

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Speaker 5: bout of legislation dealing with Ukraine, funding, Israel and so forth,

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Speaker 5: I guess could see some messaging bills go through, maybe

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Speaker 5: an extension of the Farm Bill, But I wonder if

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Speaker 5: you're working on something bigger in your head. The idea

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Speaker 5: that we're going to see a vote on stable coin.

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Speaker 5: Could we see a combined bill like what was being

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Speaker 5: discussed with the FAA, for instance, where stable coins, safe

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Speaker 5: banking executive clawbacks are all put into one vehicle to

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Speaker 5: garner more support throughout the body.

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Speaker 3: That might be something towards the end of the year, Joe,

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Speaker 3: But I think right now you're talking about just two

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Speaker 3: very specific pieces of legislation. One is creating a framework

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Speaker 3: so that entrepreneurs and the innovators, those who want to

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Speaker 3: invest in great projects do it right here in this country,

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Speaker 3: so we don't ever experience this issue that we had

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Speaker 3: with someone who's outside of the reach of the United

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Speaker 3: States oversight. And then we've also got a central bank

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Speaker 3: Digital Currency bill on the floor, which literally says the

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Speaker 3: federal government could create one, but they're going to have

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Speaker 3: to get authorization from Congress, and it's going to have

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Speaker 3: to emulate cash, which simply means that any digital currency

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Speaker 3: issued by the government must be open, permissionless, and private.

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Speaker 3: It can't be used like the Chinese or using the

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Speaker 3: digital yuan, which is basically a surveillance tool where they're

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Speaker 3: building social scores on their citizens based on their purchases

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Speaker 3: and their behavior.

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Speaker 4: We can't have that in this country. That's Unamerican.

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Speaker 3: We need a digital currency that actually is consistent with

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Speaker 3: American values.

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Speaker 2: Although Congressman, we have heard repeatedly from the FED Chair

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Speaker 2: J Powell, who has reiterated time and again that there

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Speaker 2: are nowhere close to actually launching or thinking about launching

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Speaker 2: a central bank digital currency in the US. Something though,

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Speaker 2: that is much closer, of course, is the upcoming election.

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Speaker 2: And former President Trump, the presumptive Republican nominee, was actually

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Speaker 2: in your home state of Minnesota this past weekend, and

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Speaker 2: he suggested he might be able to win there.

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Speaker 1: Just take a listen if you will.

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Speaker 4: Hello, Minnesota, this is a great state. We're going to

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Speaker 4: win this state nineteen fifty two. Can you imagine. I

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Speaker 4: thought we wanted in twenty sixteen. I thought we wanted.

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Speaker 4: I know we wanted in twenty twenty.

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Speaker 2: So, Congressman, he didn't win in Minnesota in twenty twenty.

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Speaker 2: He lost by seven points to Joe Biden. But it's

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Speaker 2: your state. Could it actually be read this time around

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Speaker 2: a lot?

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Speaker 4: Oh?

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Speaker 3: Absolutely? I mean President Trump is leading across the country.

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Speaker 3: I'm afraid that his political adversaries, well I'm not afraid.

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Speaker 3: I know that they have overreached on this, the persecution

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Speaker 3: of Donald Trump.

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Speaker 4: You've got regular Americans.

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Speaker 3: Who are not partisan watching this, and it's not a

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Speaker 3: matter of where they like someone or dislike someone. They

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Speaker 3: know fairness and when they see someone not being treated fairly,

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Speaker 3: look at the result. He just continues to climb in

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Speaker 3: the polls and in my home state, but it was

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Speaker 3: Hillary Clinton. Back in twenty sixteen, Donald Trump came within

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Speaker 3: less than two points, about a point and a half

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Speaker 3: of beating Hillary Clinton in Minnesota, a place where a

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Speaker 3: Republican presidential candidate has not won since nineteen seventy two.

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Speaker 3: And right now, Kaylee, the polls that we know of

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Speaker 3: show this basically as a statistical tie, a dead heat,

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Speaker 3: and since the polls I've looked at typically over sampled Democrats,

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Speaker 3: it's very possible that he is leading right now in Minnesota.

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Speaker 3: But we have a long way to go and there's

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Speaker 3: a lot of work yet to do.

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Speaker 5: Well, he paid a visit to your state, Congressman, when

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Speaker 5: are you going to make tracks to New York to

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Speaker 5: visit the former president at the courthouse.

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Speaker 3: Oh, listen, I support what's going on in terms of

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Speaker 3: people who are supportive of the president like I am.

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Speaker 3: But it's just a matter of logistics, that's all it is.

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Speaker 3: Time I'm with you guys tonight because I'm in Washington, DC.

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Speaker 2: Fair enough, although the Speaker himself was able to make

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Speaker 2: a trip last week, Congressman, you wanted the speaker's job

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Speaker 2: yourself before Mike Johnson got it.

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Speaker 1: Are you still lying that in the future.

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Speaker 4: Actually, I didn't want it.

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Speaker 3: That's why I didn't put my name in until it

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Speaker 3: looked like everybody that wanted it was no longer going

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Speaker 3: to be a viable candidate. As it turns out, we

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Speaker 3: got a great speaker. He's doing a wonderful job, and

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Speaker 3: you guys are right, he did manage to make that

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Speaker 3: trek up to New York. But keep in mind, I'm

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Speaker 3: the whip. My job is to make sure people are

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Speaker 3: attending session, that they are here so they can vote.

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Speaker 3: And let's just say that we've had to do some

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Speaker 3: gymnastics to make sure that with people coming and going,

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Speaker 3: whether it be to New York or somewhere else. So

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Speaker 3: I gotta set the example.

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Speaker 5: I've thought about this, Congressman. What you must go through

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Speaker 5: as a whip, I mean is to what extent is

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Speaker 5: the House calendar at the mercy of what's going on

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Speaker 5: in Lower Manhattan.

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Speaker 3: Oh no, that's not the issue. Our calendar is working.

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Speaker 3: But when you're voting and you're giving people times, you know,

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Speaker 3: you can't count on the trains running on time, you

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Speaker 3: can't count on the flights running on time. You don't

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Speaker 3: know what the traffic's going to be like. And this

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Speaker 3: isn't just about Manhattan. This is about all over the country.

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Speaker 4: You know.

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Speaker 3: I have members who come from the West Coast that

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Speaker 3: they try to leave on the day of votes and

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Speaker 3: guess what mechanical problems, whatever the issue might be, and

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Speaker 3: you have to deal with it. Our colleagues on the

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Speaker 3: other side of the aisle have the exact same problem

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Speaker 3: we do.

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Speaker 5: Yeah, that was a big chance, Congressman. It's good to

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Speaker 5: have you back, and I hope you win tonight. Tom Emmer,

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Speaker 5: the Republican from Minnesota, we thank you for being with

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Speaker 5: us here on Bloomberg