TechFlow, May 29 — According to Cointelegraph citing Bloomberg, Rostin Behnam, former chairman of the U.S. Commodity Futures Trading Commission (CFTC), said that unless the CFTC is granted greater regulatory authority, the cryptocurrency market will remain unregulated.
Behnam supports the long-standing industry view that cryptocurrencies are commodities, noting that under current law, major tokens including Bitcoin and Ethereum are classified as commodities, over which the Securities and Exchange Commission (SEC) has no jurisdiction.
Since SEC laws do not allow it to regulate commodities, and the CFTC can only oversee derivatives, without granting the CFTC new authority to regulate "non-security digital assets in the spot digital asset markets," this sector will continue to remain unregulated, potentially exposing investors to risks such as fraud, manipulation, and conflicts of interest.
