Why the crypto industry doesn’t want to be regulated by the SEC

In an op-ed published in The Hill, Alexandra Thornton explains why the crypto industry is pushing so hard to be regulated by the Commodity Futures Trading Commission.

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As America stumbles toward the 2024 election, the crypto industry appears bent on getting itself a new set of rules. With a comprehensive pro-crypto restructuring of financial rules apparently stalled in the Senate, the industry is seeking passage of a narrower, though equally weak, framework.

As of June, the industry has collectively donated over $160 million to Super PACs. They’ve already successfully urged Congress to repeal Securities and Exchange Commission guidance on how banks and other firms should account for crypto on their financial statements, though they failed to get enough members to override President Biden’s veto of the repeal. Now, they’re pushing for passage of customized legislation that would pull regulation of the crypto industry away from the SEC and toward industry leaders’ strongly preferred regulator: the Commodity Futures Trading Commission (CFTC).

The above excerpt was originally published in The Hill. Click here to view the full article.

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Author

Alexandra Thornton

Senior Director, Financial Regulation

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