Donald Trump plans to give the CFTC more authority to regulate cryptocurrencies in the new term.
US President-elect Donald Trump and the new administration may take steps to give the Commodity Futures Trading Commission (CFTC) more authority over regulating certain cryptocurrencies.
According to Fox Business, citing sources familiar with the matter, the regulatory change could also include cryptocurrency exchanges and spot markets for digital assets such as Bitcoin and Ethereum, which are considered commodities. This could reduce the Securities and Exchange Commission’s (SEC) power in the sector.
Outgoing SEC Chairman Gary Gensler has stated that Bitcoin is a commodity and supported granting the CFTC broader authority in this area. On the other hand, the CFTC also described Ethereum as a commodity in a lawsuit filed against Kucoin in March.
Trump’s promises to boost the U.S. crypto industry include creating a federal bitcoin reserve, creating a crypto-focused position in the White House and removing anti-crypto Gary Gensler.
Gensler announced last week that he would step down as SEC Chairman on January 20, 2025, the day Trump is inaugurated as the 47th President of the United States.
Stay tuned.
