US Commodity Futures Trading Commission Launches Consultation On Ethereum

Blockchain, News | December 12, 2018 By:

The US Commodity Futures Trading Commission (CFTC) is seeking public comments to better understand ether and the ethereum network.

The CFTC announced that it has published a Request for Information (RFI) in the Federal Register to ask for public feedback on a range of questions related to the underlying technology, opportunities, risks, mechanics, use cases, and markets, related to ethereum.

“The input from this request will advance the CFTC’s mission of ensuring the integrity of the derivatives markets as well as monitoring and reducing systemic risk by enhancing legal certainty in the markets,” the CFTC said. “The RFI seeks to understand similarities and distinctions between certain virtual currencies, including here Ether and Bitcoin, as well as Ether-specific opportunities, challenges, and risks. The Commission welcomes all public comments on these and related issues.”

The CFTC’s RFI listed 25 different questions, including the impetus for developing ether and the ethereum Network, especially relative to bitcoin, the current functionalities and capabilities as compared to the functionalities and capabilities of bitcoin, the developer community currently utilizing the network, and what capability does the network have to support the continued development and increasing use of smart contracts, among others.

The CFTC said that all comments must be received within 60 days of publication of the RFI in the Federal Register. They expect the comments and information received will benefit LabCFTC, the CFTC’s FinTech initiative, and help to inform the commission’s understanding of these emerging technologies.

“The information provided by stakeholders will help us refine our understanding of this area of innovation and better inform the work of the commission, including the evaluation of potential derivatives contracts,” the CFTC said. “More broadly, the input from this request will further aid the commission in identifying FinTech trends and related opportunities, challenges, and risks.”