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Policy & Regulation

Gary Gensler wants Bitcoin under CFTC regulation: Considers it a commodity

28 Jun 2022 : 07:26
2 min read
  • SEC Chairman Gary Gensler said that Bitcoin is a commodity
  • Gensler believes that BTC should be regulated under the CFTC
  • He said that other crypto tokens should come under securities

The Chairman of the United States Securities and Exchange Commission (SEC) was present in an interview with CNBC, where he doubled down on the fact that Bitcoin, the world’s biggest cryptocurrency, is a commodity and that it should be regulated under the Commodity Futures Trading Commission (CFTC), an independent agency of the U.S. government that regulates the U.S. derivatives markets.

SEC puts crypto tokens under security

The SEC Chair added in his statement that only Bitcoin could be considered a commodity while other cryptocurrencies can be considered securities. This statement caught the attention of the crypto community, which wondered about the status of Ethereum, which will likely be considered a security. 

“Some, like Bitcoin, and that’s the only one, Jim, I’m going to say because I’m not going to talk about any one of these tokens, my predecessors and others have said, they’re a commodity,” Gensler said in response to a question from CNBC’s Jim Cramer.

“Many of these crypto financial assets have the characteristics of securities,” he said, suggesting that they are thus subject to the SEC’s jurisdiction. “The investing public is hoping for a return, just like when they invest in other financial assets we call securities,” added Gensler.

“There’s a lot to be done”

As per a previous report from Cryptonary, the SEC Chair talked about crypto regulations at the Financial Industry Regulatory Authority’s annual conference and said that “there’s a lot to be done.” He pointed out that there is a lack of trust in the industry as investors are not provided financial disclosures.


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Parth

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A writer, an author, a freelancer with writings in over 50+ niches, an editor, a proofreader, a music enthusiast, a YouTuber, a podcaster, and someone, who puts consistent efforts each day to make sure his creativity is noticed. What's more? He loves cryptocurrencies.

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