CFTC Chairman Confirms Bitcoin, Ether Are Commodities
Rostin Behnam, Chairman of the CFTC, spoke about the regulation and enforcement of cryptocurrencies by the CFTC (and the SEC) in an interview with CNBC last Wednesday.
The Chairman was asked to comment about a bill in Congress which would have the SEC responsible for security tokens, and the CFTC responsible for commodity tokens.
“This is a bit of an old issue between the CFTC & the SEC. Our relationship has been great in the past. Behnam explained that it is sensible for commodities to be regulated under the Commodity Futures Trading Commission, and securities to be regulated under the SEC in this space.
According to the CFTC boss, crypto coins will have both securities and commodities.
Behnam responded to Gary Gensler, the Chairman of the SEC,’s claim that crypto tokens are mostly securities. He said that commodities are the largest cryptocurrency. He emphasized:
Yes, bitcoin is a commodity. Ether is also available.
The CFTC chief admitted that there might be a lot security coins. However, he noted that there are many community coins. He explained that he believed it was sensible for each agency to have jurisdiction over securities and commodities.
When asked if there was any disagreement between the agencies, the chairman of CFTC was hesitant to answer. He replied that he wouldn’t say that there was disagreement and stressed that each agency does its best to be successful.
Behnam commented on the sell-off of crypto markets last week.
Many people were hurt. There are currently no customer protections, so a lot of market value was lost.
He concluded that the CFTC as well as the SEC wanted to regulate crypto-related issues ‘thoughtfully’, protect customers and ensure financial stability.