In an effort to address cryptocurrency regulation, Caroline Pham, a commissioner with the United States Commodity Futures Trading Commission (CFTC), has proposed a small-scale pilot program. Pham stated in a pre-recorded statement for a Cato Institute event on September 7 that she wanted to propose a pilot program for digital asset exchanges after public roundtable …
In an effort to address cryptocurrency regulation, Caroline Pham, a commissioner with the United States Commodity Futures Trading Commission (CFTC), has proposed a small-scale pilot program. Pham stated in a pre-recorded statement for a Cato Institute event on September 7 that she wanted to propose a pilot program for digital asset exchanges after public roundtable discussions, asserting that the U.S. may soon need to “play catch-up” to crypto-friendly nations. According to her, the program would be comparable to regulatory sandboxes that had previously been implemented at the state level. According to our current laws and regulations, “a pilot program can create a framework for emerging technologies and market structures,” claimed Pham. “I hope that a pilot to test, gather information, and develop a practical approach to tokenization can ensure we continue to uphold our mandate to foster open, transparent, competitive, and financially sound markets,” the author says.
Pham demanded that the CFTC establish and approve restrictions on the dangers of cryptocurrency based on earlier pilot programs and that a stakeholder roundtable be held. The commission would decide whether to make the modifications permanent at the end of the program. Pham, one of the five commissioners of the CFTC since April 2022, has asked for more clarification about cryptocurrency regulation. She has proposed efforts targeted at safeguarding crypto retail investors in addition to serving as the commission’s Global Markets Advisory Committee’s sponsor. The planned pilot program followed attempts by US politicians to define the CFTC and Securities and Exchange Commission’s roles in cryptocurrency regulation. The Financial Innovation and Technology for the 21st Century Act was approved by the House Financial Services Committee in July, paving the way for a possible vote by the full House before 2024.
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