Chairman Rostin Behnam of the Commodity Futures Trading Commission has once again emphasized the need for the U.S. Congress to take decisive action on cryptocurrency regulation. During his recent testimony before the House Agriculture Committee, Behnam highlighted the urgency of passing legislation to clarify the jurisdiction of regulators in the crypto industry.

Behnam pointed to the recent surge in Bitcoin’s value and stressed the importance of addressing the regulatory gaps in the crypto market. He urged Congress to act swiftly, stating that waiting for “another period of irrational exuberance” would be insufficient.

“We need to act; Congress needs to act to fill this gap, specifically around Bitcoin, which is a commodity.” – Rostin Behnam, CFTC Chair

Behnam also discussed the Financial Innovation and Technology for the 21st Century Act (FIT Act), which, if passed, would enable the CFTC to establish a regulatory framework for cryptocurrencies within a year. This move could provide much-needed clarity and oversight in the rapidly evolving crypto market.

In a separate development, the U.S. House Financial Services Committee recently approved new legislation related to cryptocurrencies. The legislation includes provisions for defining blockchain technology and creating regulations for digital assets. The key objectives of these laws are to clarify the jurisdiction of regulatory bodies, address the issuance of stablecoins, ensure consumer protection, and streamline taxation of digital assets.

U.S. Treasury Secretary Janet Yellen has also expressed concerns about the risks associated with stablecoins and token volatility. Yellen has called on Congress to pass comprehensive legislation to regulate stablecoins and address instability in the spot market for non-securities crypto assets.

For more updates on cryptocurrency regulation and market developments, stay tuned to Global Crypto News.

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