CFTC And SEC Might Disagree On Whether Ether Is Securities
CFTC And SEC – The two federal market regulators in the United States may disagree on ether’s legal standing.
On a panel this morning, Chair Rostin Behnam of the Commodity Futures Trading Commission stated that he and Chair Gary Gensler of the Securities and Exchange Commission might not agree on the definition of cryptocurrencies, which would determine which agency has more authority over them.
“Ether, I’ve suggested that it’s a commodity, I know Chairman Gensler thinks otherwise — or at least hasn’t certainly declared one or the other,” said Behnam at an event in New York City hosted by Rutgers University.
Behnam also pointed out that the Financial Stability Supervision Council, of which the SEC and CFTC are both members, prioritized systemic stability over establishing jurisdictions when suggesting Congress give regulators increased oversight and regulatory authority in digital asset spot markets.
The super committee of regulators, which Behnam and Gensler both serve on, is not the appropriate body to “work out the mechanics of how we’re going to break it up,” according to Behnam, who cited Congress as the appropriate body to establish those limits.
In reference to the ongoing discussion regarding CFTC authority expansion
Behnam continued: “I get really annoyed when persons start to talk about the CFTC as a more friendly regulator.”
Behnam previously warned that the regulator will not be “soft touch” if it receives control over crypto commodities markets, which the CFTC has praised for its track record in crypto enforcements.
Although Gensler himself expressed support for a more active CFTC role in regulating crypto commodities, he also hinted in comments to the press last month that proof-of-stake cryptocurrencies might be considered securities.
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