News

CFTC Official Says Crypto Winter Is Warn Of Increased Market Risk

Another Commodity Futures Trading Commission (CFTC) official is advocating for greater regulatory authority over cryptocurrency markets.
CFTC Official Says Crypto Winter Is Warn Of Increased Market Risk 3

In a speech yesterday in New York, CFTC commissioner Christy Goldsmith Romero warned of rising contagion risk in cryptocurrency markets. She stated:

“The vulnerabilities seen during this beginning of what some call the ‘crypto winter’ warn of growing intra-market risks, with parallel themes seen in 2008.

Just as regulators could not see the true exposures or risk in 2008 due to unregulated companies and products, we cannot see that today with unregulated crypto markets.”

Her remarks alluded to the financial crisis, partially exacerbated by opaque swaps markets, while highlighting disastrous market occurrences such as the collapse of stablecoin TerraUSD and private fund Three Arrows Capital.

CFTC Official Says Crypto Winter Is Warn Of Increased Market Risk 4

The commissioner acknowledged that the crypto business is still very tiny, but he predicted that expanding linkages between crypto and trading will increase the dangers to the wider financial system.

While she suggested that the United States should not hurry legislation, she did mention the CFTC as a solution for dealing with the industry’s risk.

Goldsmith Romero’s comments come amid the CFTC’s desire for more regulatory power over cryptocurrency marketplaces. The CFTC is gaining traction in Congress as the key regulator for cryptocurrency trading, with numerous measures granting the CFTC power over the spot market – or the marketplaces where real tokens move between investors.

DISCLAIMER: The Information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.

Join us to keep track of news: https://linktr.ee/coincu

Website: coincu.com

Harold

CoinCu News

Harold

With a passion for untangling the complexities of the financial world, I've spent over four years in financial journalism, covering everything from traditional equities to the cutting edge of venture capital. "The financial markets are a fascinating puzzle," I often say, "and I love helping people make sense of them." That's what drives me to bring clear and insightful financial journalism to the readers of Coincu.

Recent Posts

The Best Crypto for Passive Income? 10% Weekly Gains and 20% Final Surge—Qubetics Mirrors Cosmos’ Early Success!

There’s always that one coin people wish they hadn’t overlooked. For many, Cosmos ($ATOM) is…

19 minutes ago

Cosmos Developer Interchain Foundation Sold 3000 ETH Today

Cosmos Developer Interchain Foundation sold 3000 ETH from its ICO today, totaling 21,600 ETH sold…

1 hour ago

Zircuit Launches ZRC Token: Pioneering the Next Era of Decentralized Finance

George Town, Grand Cayman, 22nd November 2024, Chainwire

1 hour ago

Inflation Warning By Vanguard Amid Tariffs And Labor Issues

Inflation Warning by Vanguard highlights risks during Trump’s term, citing tariffs and tighter labor markets…

2 hours ago

Clanker Token Trading Volume Hits $59.8 Million High On November 21

Clanker token trading volume hit $59.8M on Nov 21, accounting for 14.75% of PumpFun. Fee…

2 hours ago

Bitcoin Spot ETF Inflows Hit $1 Billion Led By BlackRock

Bitcoin Spot ETF inflows hit $1.005B on Nov 21, led by BlackRock’s $608M and Fidelity’s…

3 hours ago

This website uses cookies.