U.S. Commodity Futures Trading Commission (CFTC) Chairman Rostin Behnam called on Congress to take a more active role in guiding federal agencies on the future regulatory framework for cryptocurrencies.
Speaking at DC Fintech Week, Behnam emphasized the unique nature of digital assets and the need for a tailored approach to regulating them.
The CFTC and the Securities and Exchange Commission (SEC) have a history of successful cooperation, but the rise of digital assets has caused tensions to rise between the two regulators. The main point of contention can be said to be the classification of cryptocurrencies and where they fall under the jurisdiction of the two institutions.
Behnam emphasized that Congress should give clear direction on this issue.
As politicians in Washington try to reach consensus on cryptocurrency legislation, various regulatory issues are being addressed through the courts. Behnam believes that given the rapid growth and “huge potential” of the crypto market, it is crucial for Congress to intervene.
In addition to his comments on cryptocurrency regulation, Behnam also weighed in on the CFTC's latest enforcement report. The report found that nearly half of the CFTC's total enforcement actions were related to digital assets; Behnam said this was both an impressive and worrying statistic:
“In many ways, this is a great statistic, but in many ways it is also a worrying statistic because for an institution that has no authority over the cash digital asset market, 49 percent of our filings are allocated or committed to digital assets.”
*This is not investment advice.
