Sam Bankman-Fried backs bill to hand the CFTC oversight of the crypto market

FTX CEO Sam Bankman-Fried has praised a bill introduced in the US Congress to give the Futures Trading Commission (CFTC) the authority to regulate the cryptocurrency market.

Bankman-Fried noted that the bill complements previous initiatives by Cynthia Lummis and Kirsten Gillibrand, as well as Ro Khanna.

The Digital Consumer Protection Act was drafted by Senators Debbie Steiblenau, John Boozman, Cory Booker and John Thune. It requires firms that offer trading in digital assets to register with the CFTC.

According to the document, the suitability of a cryptocurrency’s security status will be determined by a court and the SEC, but in its absence, the agency can recognise the asset as an exchange-traded commodity.

The law would give the CFTC “exclusive jurisdiction over any account, agreement, contract or transaction involving trading in digital commodities.

Staeblenau and Boozman expect the Digital Consumer Protection Act to pass in 2022.

Recall that in July, SEC chief Gary Gensler said he was developing ways to register digital assets as securities.

In May, the official said that most cryptocurrencies fall under his agency’s jurisdiction.

Earlier, the CFTC announced the creation of the Office of Technology Innovation, which will regulate the industry.

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