The U.S. Commodities and Futures Trading Commission (CFTC) is reportedly looking to implement global industry standards in crypto regulation. CFTC Commissioner Carline Pham has indicated that she was working to bring an industry standard regulation for the crypto industry.
New proposal in the pipeline
Commissioner Pham’s comments come in the wake of the turmoil that hit the crypto market last year, which left several companies bankrupt or defunct. In an interview with Bloomberg, Pham revealed that she has had more than 75 meetings with various parties to discuss topics concerning crypto regulation.
According to the Commissioner, last year’s crypto contagion had encouraged her to work on a new proposal that would feature 10 fundamentals to ensure a responsible digital assets market. Pham has been consulting international policymakers to explore the standards that can be achieved at a global level.
CFTC commissioner explains stance on crypto
When asked about her stance on regulation of crypto assets, Commissioner Pham stated that they should be subject to the same standards as other financial instruments. However, she did acknowledge the need to identify what she described as crypto non-financial activity, and come up with the appropriate regulatory and legal framework for them.
Speaking on the current state of the crypto market that has led to industry leaders like DCG’s CEO Barry Silbert and Gemini’s Cameron Winklevoss to engage in a public feud, the commissioner stated that it was a matter of concern.
The commissioner hoped that regulatory agencies, including the CFTC, would work to provide more guidance and regulatory clarity to the crypto industry in 2023.
Calls for a global standard for crypto regulation have been growing with the scandals in the industry. A similar demand was made by Japan’s financial regulator earlier this week.
The deputy director-general of the Financial Services Agency’s Strategy Development and Management Bureau, Mamoru Yanase, urged regulators around the globe to implement tougher regulations on the crypto sector, similar to those imposed on banks.