February 6, Chairman of the Securities and Exchange Commission (SEC) – Jay Clayton will be given in the Senate a large-scale report on approaches to regulating the activities of crypto-exchange exchanges .
Note that on February 5, the official website of the Senate published a web-copy of his statement.
“I and the head of CFTC (Commodity Futures Trading Commission) J. Christopher Giancarlo declare that we are open for studying with the Congress, as well as with our federal and state counterparts, the need for federal regulation of the platforms for crypto-currency trading. We support the efforts of the regulator to ensure clarity and justice in this space. “
Crypto-exchange sites, most often, are registered in the form of payment companies, whose work complies with state law and is not subject to the SEC and the CFTC.
The Chairman of the CFTC also stated that, although his agency does not exercise regulatory supervision over crypto-exchange exchanges , it has the authority to investigate, for example, the possibility of filing a lawsuit against stock exchanges.
Bloomberg reported last week that the issuer of cryptotene Tether , received a summons in court in December, because of the suspicion that the token artificially supports the bitcoin price.
The chairman of the CFTC also stressed the fact that his agency regulates professional traders, not retail investors.
According to him, the CFTC has sufficient authority to protect investment in crypto-derivative derivatives, such as bitcoyne futures, and that any expansion of its authority over spot exchanges will require legislative amendments.
“This expansion of regulatory authority will be a serious extension of the CFTC regulatory mission over cash markets”
Supporters of the crypto-currency industry welcome the replacement of the state regulatory system by the federal one.
Centrality group Coin Center, based in Washington, argues in a new report that the expansion of the federal powers to exchange crypto-currencies is the ability to bring the rules in line with the Internet business.
“Federal supervision can be an opportunity to correct the violated state licensing of exchange transactions with cash,” said Jerry Brito, executive director of Coin Center.
For crypto investors who saw that bitcoin holdings are falling in price by 60% in the last 30 days, such regulatory disputes are not yet timely.
As for which controller may be preferable in the industry, the director of the Coin Center research center Peter Van Valkenburg suggests the argument:
“The CFTC will become a more reasonable regulator of the crypto currency, which does not belong to the category of securities.”