In this regard, Giancarlo stressed that you cannot have several regulators with such different opinions on the matter, so the idea that the joint working group of the CFTC with the SEC become an office that speaks out on crypto issues.
The former president of the US Commodity Futures Trading Commission (CFTC), J. Christopher Giancarlo, pointed out that it is necessary to unify the regulatory criteria between the body he presided over and the Securities and Exchange Commission (SEC), for which he presented an interesting proposal.
Giancarlo’s statements came to place during a panel organized by the American Enterprise Institute, where the former representative of the CFTC shared space with representatives of Coinbase, Coin Center, and DeFi Education Fund.
At this meeting, Giancarlo supported the position of the other speakers regarding the need for a single regulator in this matter, and commented:
“They are absolutely right that there should be only one regulator … At the end of the day, you can’t have multiple regulators.”
As a proposal to the need for a single regulator in crypto issues, Giancarlo proposed:
“Take the ad-hoc cryptocurrency working group that Jay Clayton and I created between the CFTC and the SEC, and turn it into an office, a crypto office, which would have the joint affiliation of the aforementioned entities … it would have its own authorization and its own funding from the two committee structures [Bancario y Agrícola]”.
For Giancarlo, this would be the best proposal since it would allow the new office to work closely with the two regulatory entities, handling first the criteria and considerations both for the CFTC as per the SEC, making a much more integrated approach when examining both the crypto ecosystem from a general perspective and each of the cases that may arise.
Disputes between CFTC and the SEC
All those who closely follow the regulatory scene in the US surely know that the SEC and the CFTC have been in constant dispute about the approach that would apply in relation to cryptocurrencies and certain projects based on Blockchain.
While the CFTC has taken a much more conciliatory stance and has spoken out repeatedly to clarify that currencies such as Bitcoin or Ethereum cannot be classified as values, the SEC handles a much more conservative perspective and constantly calls attention to a large number of crypto projects, even assuming a legal process currently against the developer of the XRP token, Ripple, which he accuses of the unauthorized sale of securities between 2013 and 2015 after the commercialization of its digital currency.
The truth is that, in the most controversial cases for the crypto ecosystem, the SEC and the CFTC They have not been able to agree when analyzing the cases, which has led to some uncertainty about the applicable legal provisions as the case may be.
Refering to CFTC, It defends that it has some jurisdiction over the cryptocurrency space, and in recent months it has constantly criticized the SEC and its director, Gary Gensler, for the perspective they are assuming towards these assets, assuming themselves as the main authorities that could decide on this issue.
Version by Angel Di Matteo / Daily bitcoin
Picture of Unsplash