The industry of Bitcoin and the overall digital asset ecosystem is going through a hard time. At the start, Satoshi Nakamoto wished to facilitate the common masses’ financial freedom. Nonetheless, things started moving in the direction of institutional interest with the rise of the respective market. On the other hand, the regulatory bodies drew some inferences on how risks were posed to the retail investors.
CFTC Proposes Establishment of Offices to Better Govern BTC Investors
In this way, regulations dealing with the retail investors transferring the funds in their possession to crypto became a prominent subject. At present, the Commodity Futures Trading Commission’s (CFTC) commissioner has proposed the concept of organizing an office that would provide the services of regulating the crypto investors in the retail space. Recently a speech has been made by Caroline Pham in which she reportedly presented the concept of constructing the “Office of the Retail Advocate.”
The intention at the back of this concept was to broaden the customer protection-related endeavour of the CFTC. The CFTC commissioner mentioned that the respective office would play the role of the people’s voice. The scenario of the crypto sector within the United States has been a target of considerable confusion. Pham stated that because many regulators were focusing on the whole cryptocurrency industry, the concept of crypto clarity has been much obscure.
If the latest endeavour of the CFTC gets approved, there were more possibilities for clear regulations, as per Pham. She added that the crash of the crypto world, the failures of risk management, as well as the huge retail losses, count as the factors that require signify the requirement for making a balance between retail protection, innovation, and adequate regulation of the respective space.
A noteworthy thing here is that the commissioner of the CFTC emphasized the revolutionary aspect of digital assets and blockchain technology. She specified that they can take the present industry of financial assets to a further level. According to her, although it appears to be early, some beneficial use cases in this sector take into account blockchain technology’s scalability and stability factors. In her words, these factors can be achieved via layers one, two, and the next coming such solutions.
CFTC Shows a Bullish Stance on BTC Market
In this respect, the CFTC appears to be bullish regarding the crypto world in general. Intending to create an exclusive office to facilitate the retail investors, the Chairman of CFTC also provided his remarks on the matter. Formerly this week, he pointed out that a comprehensively regulatory atmosphere could be helpful in the advancement of the assets. He added that the CFTC-regulated sector of digital assets might see a substantial increase in the price of Bitcoin.
He expressed that some people might disagree with his opinion and argue regarding the regulation type, nonetheless, their prominent focus is on the regulation as there are the finest resources, the speediest system, as well as the smartest executives operating under the CFTC to handle this market.