Gary Gensler, head of the Securities and Exchange Commission (SEC), said in late 2021 that transactions with digital currencies should be regulated by his agency.
In his opinion, such transactions could be controlled through securities laws. Last week, Gensler adjusted his position. He now argues digital assets such as stablecoins, which have a combined market cap of more than $150 billion, should be regulated by the Commodity Futures Trading Commission (CFTC).
Such instruments are similar to stock markets. Particular attention should be paid to controlling issuers of stabelcoins. Regulation of such companies will minimize the risks of fraud and price manipulation.
Gensler has emphasized:
“I believe that the CFTC should have more authority. Right now, the CFTC does not have the ability to directly control tokens that are not linked to securities.”
