Congressional Committee calls for CFTC to provide clarity on bitcoin

Regulation | November 24, 2016 By:

The Agriculture Committee of the US House of Representatives has called on the Commodity Futures Trading Commission (CFTC) to focus on digital currency regulation as President Barack Obama’s term in office winds to a close.

In the letter, dated November 18, K. Michael Conaway, Chairman of the Congressional Committee said:

“Last week, the American people chose a new direction for our country. In the light of that, I am writing to follow up on the Republican Conference’s recent letter on “midnight rulemaking” and to expand on our request that you refrain from pushing through controversial regulations at the end of your tenure as Chairman of the Commodity Futures Trading Commission (CFTC).”

Conaway went on to suggest that the CFTC could also prioritize initiatives like the regulation of digital currencies before the Trump administration takes over, writing:

“Among the many housekeeping actions the Commission could undertake would be to provide additional clarity about the regulation of digital currencies. Providing the public with more certainty will help strengthen this new technology and protect the participants of these emerging markets.”

In a ruling last September, the CFTC formally declared that bitcoin and other virtual currencies are defined as commodities.