Does CFTC chairman Sam Bankman agree with Fried? CFTC Chairman Rostin Behnam argued that having the CFTC oversee the spot market would mean issues like FTX could be dealt with more quickly.
The chairman of the CFTC expressed concern that the DeFi system creates regulatory problems as there must be human oversight for the operations of licensed companies. Commodity Futures Trading Commission Chairman Rostin Behnam defended the rule, which was supported by both himself and former FTX CEO Sam Bankman-Fried, saying Monday that if his company gets a license to trade, it will protect ordinary crypto investors, because the company can expand quickly. those who do evil.
Behnam responded to questions about FTX and Bankman-Fried, who advocated for a piece of legislation Behnam is advocating to give the CFTC more power over crypto markets and exchanges. These words are among the first that Behnam has spoken since the collapse of the crypto giant, and a preview of how he will look at the situation during the hearing of the Senate on the matter that takes place on Thursday.
The CFTC does not have the authority to oversee much of the FTX empire, he said. Legislation pending in the Senate will also increase the transparency requirements for non-public exchanges, which will help ensure that they do not connect customers to company funds, as it seems to have happened with FTX. , Behnam added.
Meaning. Debbie Stabenow, D-Mich., and John Boozman, R-Ark., vowed to continue working on Behnam and Bankman-Fried-backed legislation, despite rumors surrounding the strongest in the industry in the matter. . . The former CEO of FTX also gave an interview that undermined the previous positive comments about the law. Behnam, a former Stabenow aide, supported the law.
“I think it’s important that we close this regulatory gap before it hurts more retail investors and institutional investors,” he told a Financial Times crypto asset conference. Benham argued that this would allow for direct supervision, as the company could require crypto exchanges, brokers and other players to register if they are trading. and digital products, bitcoin is better explained under this article.
The CFTC chairman also addressed the financial system. He expressed concern that technology is making the difference between a regulator and a licensed company.
“There must be a relationship between the regulator and the company or organization,” he said. A controller needs to know what’s going on, whether it’s people or code working, and how to facilitate the relationship with customers.