Clear Guidance Should be Laid by Regulators before Punishing Crypto Firms: CFTC Commissioner
“Dawn Stump, The Commissioner of US Commodity Futures Trading Commission (CFTC), in an interview with Financial Times said “What I discourage here at the CFTC is bringing enforcement actions without giving (crypto firms) the tools they need to be compliant”
The Commissioner of US Commodity Futures Trading Commission (CFTC), Dawn Stump in an interview with Financial Times said “What I discourage here at the CFTC is bringing enforcement actions without giving (crypto firms) the tools they need to be compliant”.
According to Stump it has been a common practice by the regulators to penalize the crypto industry firms in non-compliance with the rules concerned without providing them enough guidance to comply with these rules. Before defining how compliance has to be achieved, such cases of penalization must not be brought under scrutiny.
The statement came in purview of the $1.25 Million fine laid down upon Kraken (A Crypto Exchange) for not registering as a Futures Broker and allowing the services on its platform. There has been an ongoing lack of clarity in terms of crypto firms whether the cases lie in the purview of CFTC or SEC.
Disclaimer: The article is just to provide information and shouldn’t be considered as any financial advice. It is advisable to conduct thorough research before investing in any cryptocurrency.