CFTC Announces Public Discussions About Derivatives Contracts Based on Bitcoin

The U.S. Commodity Futures Trading Commission (CFTC) announced yesterday that the Global Markets Advisory Committee (GMAC) will hold a public discussion about the regulator's jurisdiction concerning derivatives contracts related to the digital currency Bitcoin on October 9th.
It is still unclear how is the CFTC going to address any regulatory issues related to Cryptocurrencies Cryptocurrencies By using cryptography, virtual currencies, known as cryptocurrencies, are nearly counterfeit-proof digital currencies that are built on blockchain technology. Comprised of decentralized networks, blockchain technology is not overseen by a central authority.Therefore, cryptocurrencies function in a decentralized nature which theoretically makes them immune to government interference. The term, cryptocurrency derives from the origin of the encryption techniques that are employed to secure the netw By using cryptography, virtual currencies, known as cryptocurrencies, are nearly counterfeit-proof digital currencies that are built on blockchain technology. Comprised of decentralized networks, blockchain technology is not overseen by a central authority.Therefore, cryptocurrencies function in a decentralized nature which theoretically makes them immune to government interference. The term, cryptocurrency derives from the origin of the encryption techniques that are employed to secure the netw Read this Term, as the question on whether Bitcoin is a currency or a commodity according to official government regulations has still not been conclusively addressed.
While a conclusive outcome from this debate is highly unlikely, there is some merit to get some more clarity about the regulatory intentions towards the digital currency and the industry gets its first chance to hear about CFTC’s position towards the market.
Since March, the regulator has been in discussions on whether the crypto currency is meeting the commodity definition under CFTC's rules.
The U.S. Commodity Futures Trading Commission (CFTC) announced yesterday that the Global Markets Advisory Committee (GMAC) will hold a public discussion about the regulator's jurisdiction concerning derivatives contracts related to the digital currency Bitcoin on October 9th.
It is still unclear how is the CFTC going to address any regulatory issues related to Cryptocurrencies Cryptocurrencies By using cryptography, virtual currencies, known as cryptocurrencies, are nearly counterfeit-proof digital currencies that are built on blockchain technology. Comprised of decentralized networks, blockchain technology is not overseen by a central authority.Therefore, cryptocurrencies function in a decentralized nature which theoretically makes them immune to government interference. The term, cryptocurrency derives from the origin of the encryption techniques that are employed to secure the netw By using cryptography, virtual currencies, known as cryptocurrencies, are nearly counterfeit-proof digital currencies that are built on blockchain technology. Comprised of decentralized networks, blockchain technology is not overseen by a central authority.Therefore, cryptocurrencies function in a decentralized nature which theoretically makes them immune to government interference. The term, cryptocurrency derives from the origin of the encryption techniques that are employed to secure the netw Read this Term, as the question on whether Bitcoin is a currency or a commodity according to official government regulations has still not been conclusively addressed.
While a conclusive outcome from this debate is highly unlikely, there is some merit to get some more clarity about the regulatory intentions towards the digital currency and the industry gets its first chance to hear about CFTC’s position towards the market.
Since March, the regulator has been in discussions on whether the crypto currency is meeting the commodity definition under CFTC's rules.