Regulation
CFTC Chairman Calls on Congress to Close Crypto Regulatory Gaps
Commodity Futures Trading Commission Chairman Rostin Behnam is once again calling on the US Congress to take active steps in regulating crypto.
During his annual testimony before the House Agriculture Committee on March 6, Behnam underlines the need to pass legislation regarding the jurisdiction of crypto sector regulators.
Pointing to Bitcoin (BTC) recent rise, Behnam highlighted the need to “close the gaps in crypto regulation.” According to Behnam, expecting “another period of irrational exuberance” is an understatement.
” We have to act ; Congress must act to close this gap, particularly around Bitcoin, which is a commodity.
Rostin Behnam, Chairman of the CFTC
Behnam spoke about the Financial Innovation and Technology for the 21st Century Act (FIT Act). If Congress passes the FIT bill, the Commodity Futures Trading Commission (CFTC) can create a regulatory framework for crypto regulation within 12 months, Behnam noted.
In July 2023, the Financial Services Committee of the United States House of Representatives vote on the new legislation on cryptocurrencies. Most lawmakers voted in favor of two critical pieces of legislation: the Financial Innovation and Technology for the 21st Century Act and a Financial Innovation and Technology for the 21st Century Act. regulatory definition of blockchain technology.
The main objective of the law is to create a regulatory framework for digital assets, clarify the jurisdiction of the CFTC and the SEC, address the issuance of stable coinstaxation of digital assets and consumer protection.
US Treasury Secretary Janet Yellen also discussed potential risks associated with stablecoin instability, capital threat and token volatility. Yellen has called on Congress to pass legislation to address these issues, primarily regulating stablecoins and the spot market for crypto assets not classified as securities.