- CFTC Commissioner Caroline Pham has called for global industry standards in crypto regulation.
- She has called on regulatory agencies to provide better clarity and guidance to the crypto industry in 2023.
- The commissioner’s comments came a day after Japan’s FSA asked for crypto to be regulated like banks.
Caroline Pham, one of the four commissioners of the U.S Commodities and Futures Trading Commission (CFTC), has called for global industry standards in the regulation of the crypto industry. In a recent interview, Commissioner Pham commented on the state of the crypto market following the turmoil from a string of bankruptcies and scandals that began last year.
She revealed that 2022’s crypto contagion had initially prompted her to work on a new proposal. The commissioner had explored the option of public roundtables last year to determine their ability to assess the risks and the interconnectedness that led to last year’s crypto contagion.
The events that transpired in the crypto industry throughout 2022 have had an impact on her upcoming proposal. The proposal will reportedly feature 10 fundamentals that will ensure a responsible digital assets market.
Commissioner Pham has been consulting international policymakers to explore the standards that can be achieved at a global level. “I’ve had over 75 meetings and there is a very advanced discussion happening outside the United States about this,” she revealed.
As far as regulations for crypto assets are concerned, the CFTC commissioner believes that they should be subject to the same standards as other financial instruments.
However, she did acknowledge the need to identify what she described as “crypto non-financial activity”, and come up with the appropriate regulatory and legal framework for the same. Commissioner Pham hopes that regulatory agencies including the CFTC will provide more guidance to the crypto industry in 2023. The CFTC commissioner’s comments came just a day after an official from Japan’s Financial Services Agency (FSA) called for crypto to be regulated like traditional banks. Mamoru Yanase, the deputy director-general of the FSA’s Strategy Development and Management Bureau, urged regulators around the world to implement stricter regulations on the crypto industry.