CFTC chair believes Bitcoin may ‘double in worth’ below the regulator’s oversight

Because the cryptocurrency market will get bigger and its main property turn into extra adopted, it has raised questions over which financial watchdog would oversee it and make sure the regulatory compliance of its contributors in the USA.

One of many contenders for the function is the Commodity Futures Buying and selling Fee (CFTC), whose Chairman Rostin Behnam defined why his company must be the first crypto regulator throughout a fireplace chat at NYU College of Regulation on September 29, CoinDesk reports.

Facilitating crypto development

In keeping with him, inserting crypto regulation below his company’s jurisdiction could be good for the business and would possibly even result in its development. As he confused:

“Development would possibly happen if now we have a well-regulated house. (…) Bitcoin would possibly double in worth if there’s a CFTC-regulated market.”

As Benham additional defined, a transparent regulatory framework would give institutional investors extra reassurance and inspire them to turn into extra within the house:

“These incumbent establishments within the crypto house see a large alternative for institutional inflows that may solely happen if there’s a regulatory construction round these markets.”

CFTC’s place on crypto regulation

It’s value noting that, in July, Benham voiced his expectation that cryptos like Bitcoin and Ethereum (ETH) would turn into integral to mainstream financial portfolios in the USA sooner or later.

In early August, the U.S. Senate committee on agriculture proposed a bill that may place the regulatory management over spot markets for the newly outlined ‘digital commodities,’ into the arms of the CFTC.

Quickly after, the CFTC chair addressed the opportunity of his company taking up crypto regulation sooner or later, stating his opinion that the CFTC was ready for this possibility, as Finbold reported.

Extra lately, Benham mentioned that he had already licensed the CFTC to start preparing to become the leading and absolutely financed regulator for a good portion of the cryptocurrency business.

In the meantime, the U.S. Securities and Change Fee (SEC) can be making an attempt to claim itself as the principle crypto regulator however has earned a poor fame over lawsuits in opposition to crypto corporations like Ripple, whose CEO accused the agency of being a bully that’s “making an attempt to control by enforcement.”