cryptocurrency

New Bill Could Give CFTC More Cryptographic Power

A new crypto bill introduced by John Bozeman, Republican of Arkansas, and Debbie Stabeno, Democrat of Michigan, (if passed) would give the CFTC a full Mastering Bitcoin and EthereumThe two largest and most popular digital currencies in the world.

CFTC will have the most power

In the bill, both ETH and BTC are clearly described as commodities. In addition, they account for nearly two-thirds of the activity in the cryptocurrency space. Thus, by giving power over these two entities to the CFTC, that agency will have a great deal of control when it comes to regulating crypto in the coming months and years.

For the rest of the coins in the market today, oversight and oversight powers will be divided equally between the Commodity Futures Trading Commission (CFTC) and the Securities and Exchange Commission (SEC), although at the time of writing it is not clear which coins will be within their purview.

Crypto regulation seems to be high on every representative’s list of priorities lately. Not long ago, Cynthia Loomis of Wyoming and Christine Gillibrand of New York introduced a new bill that would ultimately shape the future of crypto regulation and how bills are drafted.

In addition, a few months ago, Joe Biden issued a crypto executive order calling on financial agencies across America to examine the advantages and disadvantages of crypto assets. It is also likely that the order will open the door to a digital issuance of the US dollar.

Under the new law, any online platforms or exchanges that allow investors to trade digital assets will have to register with the CFTC. Stabenow says the reason it was written and presented has to do with the lack of transparency that exists in today’s crypto space. It also says that all crypto companies must be held accountable and keep investors safe.

commented:

That’s why we bridge regulatory gaps and demand that these markets operate under direct rules that protect customers and keep our financial system safe.

Two members of Congress — Senator Cory Booker of New Jersey and John Thune of South Dakota — have agreed to sponsor the bill. Bozeman said he is confident the bill will pass since it calls for a significant portion of power in the industry to be handed over to a single institution, the CFTC. He said:

It makes it easier for members when you don’t have friends everywhere.

Could this actually work?

Todd Phillips – director of financial regulation and corporate governance at the Liberal Thought Center for American Progress – was enthusiastic about the bill, saying:

It provides an organizational structure around crypto-commodities without taking power from other agencies, such as the SEC. Specifically requires the registration and regulation of brokers.

Tags: bitcoin, CFTC, Ethereum

#Bill #Give #CFTC #Cryptographic #Power

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