A top Unitedย States regulatingย authority stated on Tuesday thereย is no way to police all digitalย currency fraud because thereย is so much, though her agency is working on plentyย of big cases.
Christy Goldsmith Romero, one of 5 commissioners at the Commodity Futures Trading Commission (CFTC), stated digitalย currency cases account for about 20 percent of the agencyโs portfolio, including recent civil cases against the exchanges Binanceย Cryptoย exchange and FTXย Tradingย Ltd. โThereโs just manyย of fraud in the space,โ Goldsmith Romero stated at a white collar felony conference at the New York City Bar Association. โThereโs just no way we can police all the fraud, but weโve got to do something.โ
CFTC Chairman Rostin Behnam has sought greater authority from lawmakers for the agency to oversee spot cryptocurrency markets.
Goldsmith Romero pushed back on the idea there was a โturf warโ betwixt the CFTC and the Securities and Exchange Commission over regulating cryptocurrency, but acknowledged that aย lotย of the industryโs products are new and the agencies were โstill attemptingย to figure it out.โ
She likewise stated cryptocurrency corporations should not view the CFTC as a potentially friendlier regulatingย authority than the deeper-pocketed SEC.
โI donโt like the idea that somehow the CFTC is light touch,โ Goldsmith Romero stated. โโLight touch regulatorโ would never be written on my tombstone.โ In March, the CFTC sued Binanceย Cryptoย exchange and Changpeng Zhao, its founder and CEO, for allegedly operating a sham compliance program.
Zhao has wasย known the complaint an โincomplete recitation of facts.โ
The CFTC case against now-bankrupt FTXย Tradingย Ltd accuses the exchange and founder Sam Bankman-Fried of causing the lossย ofย over $8 Billion in customer deposits.
Bankman-Fried has pleaded not guilty to related criminal charges from the Unitedย States Department of Justice.
