The Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC) announced a joint event on the future of crypto oversight, part of the Trump administration’s efforts to welcome the sector.
SEC and CFTC push for joint crypto oversight
On Thursday, SEC Chairman Paul Atking and CFTC Chairman Michael Selig announced they would host an event next week to discuss regulatory harmonization between the two sister agencies.
According to the announcement, the pro-industry presidents will outline efforts to work together and cooperate to “deliver on President Trump’s promise to make the United States the crypto capital of the world.”
The event will be organized on January 27 at the CFTC headquarters and moderated by crypto journalist Eleanor Terret. Additionally, it will be open to the public and streamed live on both agencies’ websites.
“For too long, market participants have been forced to navigate regulatory boundaries that are unclear in application and misaligned in design, based solely on legacy jurisdictional silos,” SEC Chairman Atkins and CFTC Chairman Selig said in a joint statement.
“This event will build on our broader harmonization efforts to ensure that innovation takes root on American soil, within American law and in service to American investors, consumers and economic leadership,” they added.
Last year, the SEC and CFTC began discussing their options for effectively collaborating on crypto regulations, as a clear framework for digital assets became a top priority for the agencies.
As Bitcoinist reports, the agencies considered reestablishing the joint CFTC-SEC advisory committee to develop recommendations on ongoing issues, including regulatory coordination efforts.
During a joint September roundtable between the two agencies, Atking said the era of regulatory fragmentation was coming to an end and the era of harmonized, innovation-friendly crypto oversight had arrived:
We are at a crossroads. If we follow the path of our predecessors, America risks ceding its leadership in the next chapter of financial history. (…) It ends now (…) our two agencies must work together to transform dual regulation from a source of confusion into a source of strength. Together, we can deliver the best of both worlds: the investor protection that has defined America’s markets, combined with an innovation-friendly approach that will keep us on the frontier of fintech throughout the 21st century.
The Director of the SEC’s Trading and Markets Division, Jamie Selway, highlighted the SEC’s efforts to “further harmonize its rules with those of our sister regulator, the CFTC.” In a speech on January 22, he affirmed that the division would work side-by-side with CFTC staff to ensure continued U.S. leadership in the financial markets, consistent with Atkins’ guidance in September.
Congressional regulatory efforts stall
Efforts by the SEC and CFTC to regulate the crypto market come as the U.S. Congress struggles to establish a framework to oversee the sector. The Senate Banking Committee’s version of the Market Structure bill, which focuses on SEC oversight, was delayed after several market participants criticized the bill.
Coinbase CEO Brian Armstrong shared his disappointment with crypto legislation, withdrawing support from the company last week. “This version would be materially worse than the current status quo. We would rather have no bill than a bad bill,” he said.
The Senate Agriculture Committee on Thursday released its version of the CLARITY Act, which primarily addresses the role and regulation of the CFTC, scheduling its markup session for January 27.
Eleanor Terret shared that industry reaction has been mostly positive, with “stakeholders noting the bill’s close similarities to the House Agriculture Committee’s version of the Clarity Act.”
However, recent reports have warned that crypto discussions in the Banking Committee may not resume until late February or early March, with the focus now shifting to advancing affordable housing projects tied to President Trump’s priorities.
Bitcoin (BTC) trades at $89,297 in the one-week chart. Source: BTCUSDT on TradingView
Featured image from NBC News, chart from TradingView.com
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