U.S. regulation Commodity Futures Trading Commission (CFTC) could be the answer to address risks associated with cryptocurrencies as more traditional financial institutions (FIs) show interest in them, CFTC Commissioner Christy Goldsmith Romero reportedly said at a conference.
“Congress can address financial stability risks by taking additional steps. authority Goldsmith Romero said Wednesday (October 26), International Swaps and Derivatives Association Conference in New York, CoinDesk Reported on Wednesday (October 26).
According to the report, she added that the U.S. should not rush regulation and that any regulation should treat the cryptocurrency industry the same as it treats the traditional financial industry.
Goldsmith Romero points to the growing interest in cryptocurrencies from traditional financial institutions, saying the interconnection between the two industries increases the risk.
“[T]In his spring, the unregulated crypto market revealed the same vulnerabilities to financial stability risks as traditional finance, with similar themes to the 2008 financial crisis,” Goldsmith Romero said in a report. says.
PYMNTS has reached out to the CFTC for comment.
Goldsmith Romero worked as a Special Inspector General for the Treasury Department’s Troubled Asset Relief Program for almost ten years.
Upon being nominated for his current position in March, Goldsmith Romero said: confirmation hearing There is a need for more power to regulate cryptocurrencies, and the authority’s history of overlooking cryptocurrency derivatives means more can be done to oversee digital assets.
As PYMNTS reported in the United States on Sept. 9, Securities and Exchange Commission (SEC) Chairman Gary Gensler He advocated giving the CFTC more cryptocurrency oversight to maximize investor protection.
“To that extent [CFTC] Greater authority to oversee and regulate cryptographic non-security tokens and related intermediaries is needed, achieving that goal consistent with maintaining regulation of crypto-security tokens and related intermediaries in the SEC. Speaking at an event hosted by the Practicing Law Institute.
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