Technology

SEC and CFTC should jointly regulate cryptocurrencies

All regulators in the United States are working to regulate the cryptocurrency market.

Sam Bankman-Fried, CEO of cryptocurrency exchange FTX, said that regulators in the US must work together to collectively regulate the cryptocurrency market.

In a recent interview with Blockworks, Bankman-Fried said that the Securities and Exchange Commission (SEC), working with the Commodity Futures Trading Commission (CFTC), will make it easier to regulate the cryptocurrency market.

According to the FTX CEO, the regulation of the cryptocurrency space will facilitate the adoption of digital currencies in the long term.

He added that if agencies could agree on who is responsible for licensing cryptocurrency exchanges, significant progress could be made. He said;

“That alone would solve about 60% of the problem. »

Despite the absence of regulation in the field of cryptocurrencies at the moment, Sam Bankman-Fried believes that progress has been made over the past few months. He said;

“We’re not really in a place with more federal oversight than we were a year ago. We are in a situation where there are concrete proposals that can be adopted very soon and seriously considered.

Regulators from different parts of the world are always trying to understand and regulate the cryptocurrency market.

The cryptocurrency market has shown tremendous growth over the past few years. In November 2021, the total market capitalization reached $3 trillion for the first time.

However, the market has been on a downward trend over the past six months and the market cap is currently around $1.7 trillion.

Despite the recent bearish sentiment, market experts still believe that cryptocurrency prices will recover. Bitcoin could hit a new all-time high again in the next few years despite trading below $40,000 in recent days.

Sam Bankman-Fried is confident that US regulators will find a way to properly regulate the cryptocurrency market over the next few years.

Back to top button