The joint hearing between US Securities and Exchange Commission (SEC) and Commodity Futures Trading Commission (CFTC) took place at Capitol Hill this morning, on the 6th of February 2018. Many view this as a turning point for cryptocurrencies, as the chairmen of both the SEC and the CFTC appeared before Senate Banking Committee today to discuss their regulatory approach to a crypto market, which is rife with fraud and abuse.
The Written Testimonies
As stated in the written testimonies by the chairmen of the SEC and the CFTC, the two parties are in favor of cryptocurrencies and the technological promise they bring but are adamant on cracking down on unregulated ICOs.
Christopher Giancarlo, chairman of the CFTC, showed his optimism and appreciation for the invention of blockchain/DLT technology. By drawing a comparison to the Dot Com bubble in the beginning of this century, he emphasized the importance of this new technology for the future of mankind.
“As we saw with the development of the Internet, we cannot put the technology genie back in the bottle. Virtual currencies mark a paradigm shift in how we think about payments, traditional financial processes, and engaging in economic activity. Ignoring these developments will not make them go away, nor is it a responsible regulatory response.”
Today’s Testimony
A Redditor that goes by the username @ethswagholder gave a really concise summary of what Christopher Giancarlo, chairman of the CFTC said on behalf of cryptocurrencies:
And, most importantly:
In front of the entire Congress, Giancarlo defended cryptocurrencies and preached the importance of blockchain technology for future generations. He is the kind of hero we need, but not the hero we deserve.
Finally, things are looking good for cryptocurrencies.
Side note: In contrast, conventional banking institutions took a huge bashing from Senator Sherrod Brown. Apparently, banks have had over 80 violations in the recent months.