Sam Bankman-Fried backs bill to transfer crypto-market oversight to the CFTC

FTX CEO Sam Bankman-Fried praised the bill under consideration in the US Congress to grant regulatory authority over the cryptocurrency market to the Commodity Futures Trading Commission (CFTC).

1) I’m really excited to see @SenStabenow and @JohnBoozman introduce a strong bill to bring customer protection and federal oversight to crypto.https://t.co/AJAWjOHgDy

— SBF (@SBF_FTX) August 3, 2022

«It will provide a clear federal oversight of the digital asset markets, strengthening liquidity and creating guardrails for unscrupulous players in the ecosystem», — he said.

Bankman-Fried noted that the bill complements previous initiatives Синтии Ламмис и Кирстен Джиллибранд, а также Ро Ханны.

The Digital Goods Consumer Protection Act was drafted by Senators Debbie Stabenow, John Boozman, Cory Booker and John Thune. It requires firms that offer trading in digital assets to register with the CFTC.

According to the document, whether a given cryptocurrency is treated as a security will be determined by a court and the SEC, but in its absence the agency may deem the asset a commodity.

The law would grant the CFTC “exclusive jurisdiction over any account, agreement, contract or transaction related to the trading of digital goods.”

“The cryptocurrency markets lack transparency and accountability. Too often they put Americans’ hard-earned money at risk. We are closing regulatory gaps and requiring these markets to operate under simple rules that protect customers and bolster the safety of our financial system”, — said Debbie Stabenow.

Crypto markets aren’t fair or transparent — putting Americans’ money at risk. @JohnBoozman, @SenBooker, @SenJohnThune, and I are giving @CFTC what they need to protect consumers, prevent fraud and create transparency and accountability.https://t.co/d986y4Rjf1

— Sen. Debbie Stabenow (@SenStabenow) August 3, 2022

The head of the CFTC Rostin Behnam supported the initiative.

«We are at a critical inflection point where new legislative authority is needed to remove uncertainties and provide a regulatory framework for the digital commodity market,» — he said.

@CFTCbehnam on today;s Senate Ag #crypto bill:

«We are at a critical inflection point where new legislative authority is needed to clarify ambiguities and provide a regulatory framework to the digital commodity market..» https://t.co/9WrdsPeUsE

— Cody Carbone (@CodyCarboneDC) August 3, 2022

Stabenow and Boozman expect the Digital Goods Consumer Protection Act to be enacted in 2022.

As reported in July, SEC Chair Gary Gensler said he was developing ways to register digital assets as securities.

In May the official said that most cryptocurrencies fall under his agency’s jurisdiction.

Earlier, the CFTC announced the creation of a new Office for Technology Innovation to regulate the industry.

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