Key Takeaways
- Rostin Behnam wants Congress to make CFTC one of the agencies responsible for crypto regulation.
- Bloomberg recently reported that the US treasury department would transfer a big part of the regulation responsibility to the United States Security and Exchange Commission.
- He explained that cryptocurrency’s development and broad adoption give various novel problems for all regulatory bodies, and his agency is ready to protect consumers and preserve market resilience.
The temporary Chair of the United States Commodity Futures Trading Commission (CFTC), Rostin Behnam, has asked Congress to increase the scope of the agency's administration in light of the rapidly expanding virtual currency industry. If the United States Congress adopts Behnam's proposal, it might mean that another government commission would be added to the authorities in charge of regulating crypto assets.
Shortly after Bloomberg reported that the country's Treasury Department is expected to shift a large portion of the responsibilities involved in crypto regulation to the United States Securities and Exchange Commission, the CFTC is also becoming one of the crypto regulatory authorities.
Behnam said in his testimony at a hearing in Washington that he wanted to end his presentation "with a few comments regarding rising threats and possibilities."
He said that the emergence and widespread use of cryptocurrencies creates a slew of new challenges for all regulatory authorities. Against this context, the CFTC employs its present legislative authority to prevent frauds and manipulation in these new markets. If the Commission wins congressional approval, it will employ its proactive approach to assure consumer protection and market resiliency.
Behnam stated that he is looking forward to working with the committee to re-evaluate and, if possible, broaden the Commission's jurisdiction to ensure that both the merits and promises emanating from the crypto asset and its technology are taken advantage of while protecting customers and financial market stability.
Related post: US CFTC to Review Polymarket ahead of Investing Plans
Former US President Donald Trump nominated Behnam as the Chairman of the CFTC in 2017, and the Senate accepted his candidacy to become the head of the agency with his term expiring in June 2021.
However, the members of the CFTC picked Behnam as the temporary head of the agency in January 2021. President Joe Biden renominated him as Chairman of the agency one month ago.
Does the US CFTC's inclusion on the list of crypto-regulating authorities help the digital asset market in the country grow?
