At this time when cryptocurrency is gaining more and more followers, it is more than important to secure the market. It is in this sense that the CFTC recently submitted a bill. The latter mainly aims to protect consumers from what this regulator considers to be “digital products”. Decryption.
Cryptocurrency: Commodity or Security?
Opinions remain extremely divided on the true nature of cryptocurrencies. According to Gary Gensler, current chairman of the SEC, it would be titles. For its part, the CFTC (Commodity Futures Trading Commission) treats most digital assets as commodities. As with any market, crypto token exchanges should therefore be regulated and monitored. Hence the bill proposed by this regulator.
The CFTC brilliantly raised this point during a legislative hearing. It was held on September 15, 2022 before the United States Senate Committee on Agriculture, Nutrition and Forestry. CFTC Chairman Rostin Benham took the time to explain the strategies the agency would put in place in order to regulate the crypto market.
New bill on cryptographic tokens: what about its content?
The ACCPD (Digital Commodities Consumer Protection Act) or Digital Products Consumer Protection Act) is a bipartisan bill initiated by four senators:
- Debbie Stabenow (Michigan)
- John Boozman (Arkansas)
- Cory Booker (New Jersey)
- John Thune (South Dakota)
It was introduced in the US Senate last August. This bill aims to give the CFTC full power to regulate and monitor the market for digital products (including crypto tokens). To do this, the agency intends to impose a market surveillance and disclosure regime based on the following elements: integrity, transparency and security.
If this bill passes, the CFTC would have full and unrestricted surveillance capabilities over the cryptocurrency market. According to the bitcoin blogit would also benefit from additional resources to implement the new regime.
The CFTC is not alone in claiming the title of regulator of crypto markets. The SEC strongly maintains that the regulation of these digital assets is within its purview. Still, there are currently two other bills that seek to make the CFTC the primary regulator of the crypto markets.
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