To empower the Commodity Futures Trading Commission to regulate the cryptocurrency spot markets, three bills were introduced in the United States this year.
Lawmakers Demand that the CFTC Be The Primary Regulator for Crypto Spot Markets
This year, there have been three legislative bills in Congress to establish the Commodity Futures Trading Commission as the principal regulator of the crypto spot market.
Kristin SMITH, the executive director at the Blockchain Association, stated Thursday that it has been a lengthy debate about whether or not the Securities and Exchange Commission, (SEC), should act as the primary regulator for crypto spot market.
We now have three different bills — the one this week, the Lummis Gillibrand bill, and also the House bill, the Digital Commodity Exchange Act — that all say the CFTC is the place to go.
The “Digital Commodities Consumer Protection Act of 2022” was introduced by U.S. U.S. Senators Debbie Stabenow, John Boozman and Cory Booker (D–MI), introduced the “Digital Commodities Consumer Protection Act of 2022” last week. “Our bill will empower the CFTC with exclusive jurisdiction over the digital commodities spot market, which will lead to more safeguards for consumers, market integrity and innovation in the digital commodities space,” Senator Boozman commented.
U.S. Senators Cynthia Lummis (R-WY) and Kristen Gillibrand (D-NY) introduced the “Responsible Financial Innovation Act” in June. Senators Cynthia Lummis (R-WY) and Kristen Gillibrand (D-NY) introduced the “Responsible Financial Innovation Act,” which assigns regulatory authority over digital asset spot markets to the CFTC. The lawmakers explained: “Digital assets that meet the definition of a commodity, such as bitcoin and ether, which comprise more than half of digital asset market capitalization, will be regulated by the CFTC.”
The third bill was the “Digital Commodity Exchange Act of 2022,” introduced in April by Reps. Ro Khanna (D-CA), Glenn “GT” Thompson (R-PA), Tom Emmer (R-MN), and Darren Soto (D-FL). “To foster American innovation and tech job growth, Congress must establish a clear process for creating and trading digital commodities that prioritizes consumer protections, transparency, and accountability,” Rep. Khanna detailed.
“We are very excited that we have bipartisan, bicameral members of Congress that are wanting to think about and tackle these [crypto regulatory] issues,” Smith described.
Smith noted that Senator Stabenow, the U.S. Senate Committee on Agriculture, Nutrition and Forestry, has jurisdiction over CFTC, and Senator Boozman, the ranking member, is Smith’s opinion:
It is encouraging to know that there are senators who care about these issues.
Are you a believer that the CFTC should or not be primary regulator for crypto spot markets. Please let us know what you think in the comment section.
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