CFTC Commissioner stated that the regulator has requested authority to monitor cash markets from the US Congress. As a result, the CFTC will be able to regulate Bitcoin, Ethereum, and other digital currencies as commodities.
Considers Ethereum as a commodity, even after the proof-of-stake transition. On Wednesday, CFTC Chair Rostin Behnam stated that the CFTC has requested the US Congress for monetary power over Bitcoin and Ethereum.
CFTC Claims Ethereum Is a Commodity
The founder of the Chamber of Digital Commerce, Perianne Boring, questioned CFTC Commissioner Christy Romero if Ethereum's switch to proof-of-stake after the Merge has any policy implications. Christy Romero reiterates the CFTC's stance that Ethereum remains a commodity even after the PoS transition.
“When we look at Ethereum and other products, we want to know what is a commodity. The CFTC has consistently believed that Ethereum is a commodity. The term "commodity" has a fairly broad meaning. Even with proof-of-stake, I continue to believe that Ethereum is a commodity.”
On Wednesday, CFTC Chair Rostin Behnam stated that the regulator has requested authority to monitor cash markets from the US Congress. As a result, the CFTC will be able to regulate Bitcoin, Ethereum, and other digital currencies as commodities.
SEC Chair Gary Gensler considers Bitcoin and Ethereum to be commodities and agrees that they should be regulated by the CFTC. However, owing to proof-of-stake, Gensler altered his opinion and called Ethereum a "security." Under the Howey Test, he believes all PoS-based cryptocurrencies are securities.
Behnam argues that digital currencies represent a new asset class that must be regulated legislatively. The CFTC and the SEC are attempting to reach a fair conclusion in order to ensure market clarity and consumer protection for retail investors.
SEC Seems to Lose Lawsuit Against Ripple
While the SEC and CFTC decide whether Ethereum and other digital currencies are securities or commodities, Ripple currently has the upper hand in the SEC lawsuit. Judge Analisa Torres ordered the SEC to turn over documents related to the Hinman case. As a result, the XRP price has increased by more than 13% in the last 24 hours, and it is currently trading at $0.488.
Read also: Russia's Government Will Pass a Law on Crypto Mining This Year
