US Regulators Call for Lighter Touch on Crypto Trading
Two former top regulators are calling for lighter touch regulations in the US crypto market. Former CFTC Chairman J. Christopher Giancarlo and ex-SEC Chair Tim Massad believe that if the US wants a share of the world's largest derivatives market, it needs to stop regulating like it's 1934.
The current patchwork of rules and legislative inaction is effectively giving offshore venues a market share gift, they argue. The $90 trillion annual notional volume perpetual futures market operates almost entirely outside US jurisdiction.
The CLARITY Act, which aims to clarify the jurisdictional line between the SEC and CFTC, has stalled in Congress. Despite its passage in the House with a 294-134 bipartisan vote, ethics disputes and competing priorities have kept it in limbo.