Hot US Senate Hearings: ‘If No Bitcoin, No Blockchain,’ Says CFTC Chairman

Hot US Senate Hearings: ‘If No Bitcoin, No Blockchain,’ Says CFTC Chairman

The US is likely to meet new virtual money regulation in the foreseeable future. Such a conclusion comes out of the Senate’s hearings on would-be cyber money ordinances in the country, which took place yesterday, on February 6.

At these hearings, the head of the American Commodity Futures Trading Commission – J. Christopher Giancarlo – emphasized that blockchain would not be here if not for bitcoin. Whether it is a coincidence or not, but soon after this statement was made crypto market started showing the first signs of recovery after an intense week.

US Looking Into Crypto Regulation

According to CCN, at the yesterday’s hearing, the leaders of major American market control bodies mostly were sticking to the screenplay. The hearing was carried by the Committee on Banking, Housing, and Urban Affairs.

During it, speakers referred to such issues as regulatory zest over cyber assets and blockchain on the whole. In particular, they touched upon such themes as ICOs, crypto exchanges, financial products, EFTs as well as the danger that cryptos bring, e.g., their use for malicious purposes.

At the very beginning of the even, the chairmen of CFTC and SEC pointed out at troubling fact that crypto trading platforms are controlled primarily at the state scope but not that much on the federal one. Both of them hinted that Congress might permit federal watchdogs to spread their hands to the realm of cryptos.

Clayton's Remarks On ICOs & Futures

Securities and Exchange Commission leader, Jay Clayton, kept trying to shed light on the subject of ICOs. Particularly, he repeated what he had already said before – that he does not think there is an obstacle for not classifying ICO as a type of securities under federal control.

At the same time, Clayton explained why his agency withstood sponsors’ effort to record BTC EFTs. Indeed, this happened because these funds focus on retail investors. He also added that the regulation over them should be more rigorous than over CFTC futures. Once these recommendations are fulfilled, only then SEC might reconsider its view.

Giancarlo Winning The Hearts Of Bitcoiners

Giancarlo, in his turn, conquered the hearts of all crypto lovers as he used the slang “hodl” at such a hearing. On top of that, he opposed the common belief that it is BTC which inherits fame after blockchain tech trend.

“It’s important to remember that if there was no Bitcoin, there would be no blockchain,” said Giancarlo.

Notably, on the very next day after that bitcoin surged up by 24%, leading the entire cyber assets market restoration.