Crypto exchange Backpack US appointed former U.S. Securities and Exchange Commission Acting Chairman Michael S. Piwowar to its board of directors on Tuesday. Piwowar, who served as SEC commissioner from 2013 to 2018 and briefly as acting chairman during President Donald Trump's first term in 2017, stated that the U.S. regulatory landscape for digital assets is entering a new phase with increasing focus on bringing innovation into established financial market structures through clear rules and effective oversight. The appointment comes as the U.S. crypto regulatory environment shows growing momentum toward regulatory clarity and durable market infrastructure, according to Piwowar, who now works at Georgetown University.
Piwowar Rejected Winklevoss Bitcoin ETF During 2017 SEC Tenure
Piwowar was appointed by President Barack Obama and served as an SEC commissioner from 2013 to 2018. He briefly served as acting chairman during President Donald Trump's first term, having been preceded by Mary Jo White and succeeded by Jay Clayton in 2017. During Piwowar's four-month stint as acting chairman in 2017, the SEC rejected the Winklevoss twins' proposal for a bitcoin exchange-traded fund, an application that had originally been filed four years earlier.
Although Piwowar and other SEC commissioners stated at the time that bitcoin should not be considered a security, he and the Commission took a skeptical approach to the initial coin offering boom. The agency issued warnings about crypto scams and emphasized investor protection.
Prior to the SEC, Piwowar served as chief economist for the U.S. Senate Committee on Banking, Housing, and Urban Affairs, where he was the lead economist on the SEC-related titles of the Dodd-Frank Act and the JOBS Act. He also served as senior economist on the President's Council of Economic Advisers during the Global Financial Crisis.
Backpack Expands Stock Trading Platform and Signals US Perps Offering
The appointment comes amid a broader expansion push by Backpack, the crypto exchange that started life as a Solana-based wallet created by the team behind the Mad Lads NFT collection. Earlier this month, the company unveiled its stock trading platform, which will offer access to traditional and tokenized equities.
In Tuesday's announcement, Backpack also signaled it planned to expand its perps trading offering in the U.S., in the wake of the Commodity Futures Trading Commission allowing Kalshi to offer the first regulated bitcoin perpetual futures contract. Backpack currently offers regulated perps trading in the EU.
"The CFTC's approval of bitcoin perpetuals last week is a defining moment for this market. What was once only available offshore is now on a path to U.S.-regulated exchanges, and the coordinated approach between the CFTC and the SEC underscores just how much the policy environment has evolved," Backpack US President Mark Wetjen said. Wetjen previously served as a commissioner and acting chairman of the CFTC.
Backpack Raised $17 Million Series A and Announced IPO Plans
Backpack has signaled plans to go public, including announcing a proposed "post-IPO" company treasury backed by 37.5% of its total 1 billion exchange token supply, as well as an equity-linked staking model that would reward stakers with 20% of its corporate equity.
Launched in 2023, Backpack last raised capital in a $17 million Series A funding round in 2024, led by Placeholder VC, with support from Robot Ventures, Wintermute, and Selini.
FAQ
Who did Backpack US appoint to its board on Tuesday?
Backpack US appointed Michael S. Piwowar, former U.S. Securities and Exchange Commission Acting Chairman, to its board of directors on Tuesday. Piwowar served as SEC commissioner from 2013 to 2018 and briefly as acting chairman in 2017 during President Donald Trump's first term.
What did the SEC do during Piwowar's 2017 acting chairmanship?
During Piwowar's four-month stint as acting chairman in 2017, the SEC rejected the Winklevoss twins' proposal for a bitcoin exchange-traded fund, an application that had originally been filed four years earlier. Piwowar and the Commission took a skeptical approach to the initial coin offering boom, issuing warnings about crypto scams and emphasizing investor protection.
What expansion plans did Backpack announce on Tuesday?
Backpack signaled it planned to expand its perps trading offering in the U.S., following the CFTC's approval allowing Kalshi to offer the first regulated bitcoin perpetual futures contract. Earlier this month, the company unveiled its stock trading platform offering access to traditional and tokenized equities. Backpack currently offers regulated perps trading in the EU.
