CFTC and SEC Are Vying for Crypto Regulation Control

[Tamsialu$$]

The heads of the CFTC and SEC are both looking to expand their agency's authority to regulate crypto assets. Appearing before the committee as part of his confirmation hearing, Behnam said that the agency's recent enforcement actions against derivatives exchange BitMEX and stablecoin issuer Tether prove the agency has what it takes. However, he added, "this is the tip of the iceberg" given the now $2.6 trillion crypto market cap, most of which he classified as commodities—raw or basic goods that can be traded on exchanges.

"I think it's important for this committee to...consider expanding authority for the CFTC," Behnam told Committee Chair Debbie Stabenow. While he acknowledged that "this would certainly be a departure from our historical role as a derivatives regulator," he pointed to the rapid growth of the sector and potential risks to both investors and financial stability.more info