Increased Authority over Stablecoins for US Commodity Regulator? SEC Chair is in Favor
The chair of the U.S. Securities and Exchange Commission, Gary Gensler, is arguing in favor of the Commodity Futures Trading Commission (CFTC) should have increased authority over stablecoins.
In a recent Georgetown conference, Gensler says stablecoins function similarly to how the money market funds work. This similarity is what Gensler uses to argue for regulations in Stablecoins.
Last month, He argued that many crypto tokens are securities. There being securities means that security law should apply to them as well. He is making a push to have congress give the CFTC that power.
The SEC chair wants crypto firms to have their coins under the SEC. Gensler feels that the CFTC’s authority in the digital space is already similar to what they do now.
“As I have publicly stated several times, including to this committee, and as has been recognized by federal courts, many digital assets constitute commodities. As recognized by the DCCPA (Digital Commodities Consumer Protection Act), the CFTC’s expertise and experience make it the right regulator for the digital asset commodity market.”