- CFTC has signaled receptiveness to crypto by adding several executives from the blockchain space to its new Technology Advisory Committee.
- The inaugural meeting of the new committee is scheduled for March 22: CFTC commissioner and TAC sponsor Christy Goldsmith Romero.
- Meanwhile, rumors of Federal Reserve bankruptcy are spreading.
The Commodity Futures Trading Commission (CFTC) has hinted at receptiveness to the cryptocurrency and blockchain sectors. In a recent announcement, the regulator declared the enlisting of executives from Circle, Ava Labs, and Fireblocks to its new Technology Advisory Committee (TAC).
CFTC commissioner and TAC sponsor Christy Goldsmith Romero revealed the news through a public statement on March 13, saying that the inauguration meeting for the new committee is scheduled for March 22.
The CFTC established the TAC in 1999 to help the regulator identify and understand the impacts and implications of technological innovation in financial services and markets. An excerpt from the Commission’s announcement reads:
The TAC may inform the Commission’s consideration of technology-related issues in support of its mission to ensure the integrity of derivatives and commodities markets and the achievement of other public interest objectives.
The TAC is also mandated to offer counsel on tech investments with the potential to support the Commission in executing its surveillance and enforcement duties. Former White House staff Carole House is part of the committee, serving as chair alongside Ari Redboard as vice chair with a background as head of legal and government affairs at blockchain intelligence firm TRM Labs.
Other members with crypto backgrounds include Circle vice president of global policy Corey Then, FireBlocks co-founder and CEO Michael Shaulov, Inca Digital CEO Adam Zarazinski, blockchain auditor Trail of Bits co-founder Dan Guid, and Ava Labs founder and CEO Emin Gün Sirer, who acknowledged the appointment with a Twitter post.
I'm thrilled to have been appointed to the CFTC's Technical Advisory Board. I'll do everything I can to move the space forward, inform regulators about the latest developments in crypto, and bring the benefits of blockchains to our financial system.https://t.co/5RpC1pb8Sd— Emin Gün Sirer (@el33th4xor) March 13, 2023
Beyond crypto, officials from renowned firms like IBM, Amazon, the CME Group, and Cboe Global Markets have also been selected for the TAC, together with university professors with legal backgrounds.
In the announcement, Goldsmith Romero articulated the need to work with members from private tech and other entities in regulating and protecting the commodities/futures market.
The CFTC’s collaborative approach hints at a newly found receptiveness to crypto, something other US agencies like the Securities and Exchange Commission (SEC) have been unable to do. The development has also come in tandem with the Federal Reserve’s first annual operational posting.
Federal Reserve Post First Annual Operation Loss of $80 Billion
Bitcoin Twitter account has revealed that the Federal Reserve is now technically bankrupt, alleging that the Fed will post its first annual operating loss of $80 billion in 2023.
The @federalreserve is technically bankrupt.— Bitcoin (@Bitcoin) March 14, 2023
In 2023 the Fed will post its first annual operating loss of $80 billion since 1915 and will have a negative capital of $38B.
This loss does not count the $1.3 trillion unrealized loss on its portfolio. pic.twitter.com/DMYFhXGx59
Notably, this is the first time since 1915 that the annual operating loss is as high as $80 billion, with the Fed said to have negative capital of $38 billion. It is worth mentioning that the $1.3 trillion in unrealized losses on the Fed’s portfolio is not included in this loss.
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