Former Commodity and Futures Trading Commission (CFTC) Chair, Gary Gensler has become the latest top official to lend his voice to the call for clear regulations to govern the rapidly growing crypto ecosystem in the United States.
Gensler shared these thoughts in an interview with crypto news publication, Cointelegraph, and focused on how such regulations will bolster the young industry.
According to the former CFTC official, the creation of clear rules for the industry will legalise investor and consumer protection rights, a feature that the industry needs to gain the confidence of the public. If the law can protect against issues such as market manipulation and loss of private keys, then Gensler believes the industry will record more growth and prosperity.
When quizzed on his thoughts regarding the chances that a Bitcoin ETF might hit the space soon and lead to more adoption, Gary Gensler preferred to applaud the work being done by the U.S SEC in that regard.
He reportedly said,
“The Securities and Exchange Commission [SEC] is doing their work to ensure that if there is an exchange-traded fund, that the markets themselves for those exchange-traded funds and the underlying bitcoin or ethereum it’s referencing is not really susceptible to manipulation.”
Gensler further highlighted that such an approach is vital since proper oversight and maturity of a market will reduce the chances of manipulation in no small extent.
As we noted earlier, Gensler is not the first U.S elite or even the first former CFTC Chair to call for the regulation of the cryptocurrency industry.
In March, Former CFTC Chair Timothy Massad also made a similar call recommending that either the Futures regulator or the U.S SEC has what it takes to regulate the young industry to a proper degree.
Meanwhile, in January, former Washington D.C Rep George Nethercutt questioned the U.S SEC’s application of securities law to cryptocurrencies, suggesting that the industry needs a unique framework.