The Chairman of the CFTC claims the agency is already planning to be the top crypto regulator
The director of the United States Commodity Futures Trading Commission (CFTC), Rostin Behnam, said that he has already allowed his agency to begin preparing to be the principal and fully funded regulator for a substantial sector of the cryptocurrency market, as required by the Senate legislation.
Behnam is slated to brief Senate Agriculture Committee members during a planned hearing on September 15:
According to a study by CoinDesk, “the volatility of the market and its effect on retail users – which may only grow under present macroeconomic circumstances – highlight the imminent need for legislative clarification and market safeguards.”
The bill being pushed by committee leaders to draft new laws for the Bitcoin industry recognizes that Behnam’s agency would be at the core of government oversight.
Notably, Sens. Debbie Stabenow (D-Michigan) and John Boozman (R-Arkansas), the panel’s ranking Republican, presented legislation last month that would provide the agency-wide jurisdiction to oversee digital asset trading, including the ability to monitor crypto spot markets.
Despite this, Behnam praised the Act and its proposal for extra agency financing, which would let the CFTC “move fast” in establishing new oversight and control over digital commodities assets. Courts, legislators, and regulators have all accepted that this includes Bitcoin, but the legal standing of other assets remains ambiguous.
Behnam said that all digital commodities platforms must retain enough financial, operational, and administrative resources, separate user monies, and comply with commission regulations for the handling of customer assets.
He added: In times of instability, uncertainty, or market malfeasance, these methods have proved useful in preserving consumer cash and market operations.
Multiple pieces of legislation have recommended that the CFTC adopt a prominent role in crypto supervision, and it is expected that this momentum will continue as the projects near completion. Notably, the CFTC chairman said that the agency is “ready” to regulate cryptocurrencies.
On Thursday, September 15, numerous notable bitcoin industry figures were scheduled to testify before the committee. Among these individuals were representatives from the bitcoin network Coinbase and the trading company Citadel Securities.
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