Trump Nominates FDIC Acting Director Travis Hill to Become Agency’s Permanent Director

President Trump recently nominated Federal Deposit Insurance Corp. (FDIC) acting chair Travis Hill to permanently lead the agency. If confirmed by the Senate, Hill is expected to continue to take a lighter enforcement stance, seek adjustments to bank capital requirements, and permit more involvement of U.S. banks in crypto-related services.

“In serving the agency since 2018 in roles that include acting chair, vice chair, and deputy to Chairman McWilliams for policy, Hill has demonstrated a keen understanding of the complex policy issues facing our financial system,” said Rob Nichols, president and CEO of the American Bankers Association, according to Financial Regulation News.

Before his time at the FDIC, Hill served as a counsel on the Senate Banking Committee, where he assisted the panel in advancing legislation to lighten post-crisis rules for regional banks. As deputy and senior advisor to the Chairman at the FDIC, he oversaw policy and regulatory initiatives and advised the chairman on regulatory and policy matters.

Reuters noted that the FDIC has moved to ease oversight under Hill, rolling back a Biden-era policy that increased scrutiny of large bank mergers. In March, the FDIC announced that banks could engage in crypto activities without receiving prior approval, which marked a shift in U.S. banking policy and lifted a key obstacle that limited Wall Street’s engagement with digital assets.

Additionally, Hill criticized efforts made by Democratic regulators to impose “Basel III endgame,”  strict new rules on bigger banks. Top banks have also lobbied against the proposed rules, urging that stricter requirements would curb lending and put them at a disadvantage to banks outside the U.S.