SEC, CFTC and FinCEN issue a joint statement for crypto industry participants


  • The US regulators publish a joint statement on digital assets.
  • The authorities insist that crypto-related companies should comply with the existing regulations.

The heads of three US financial regulators issued a joint statement to warn the participants of the cryptocurrency industry about the need to comply with various regulatory requirements. This statement was published on the website of the Commodity Futures Trading Commission (CFTC).

The statement was signed by CFTC CEO Heath Tarbert, Director of the Financial Crimes Enforcement Network (FinCEN) Kenneth Blanco and Chairman of the US Securities and Exchange Commission (SEC) Jay Clayton. 

Heads of departments urged companies to comply with the rules of law governing banking and other financial services, regardless of what they call their digital assets - cryptocurrencies or tokens. The authorities refer to the Law on Bank Secrecy, which regulates the requirements for registering companies with regulatory authorities.

« For example, certain “commodity”-related activities may trigger registration and other obligations under the Commodity Exchange Act (CEA), while certain activities involving a “security” may trigger registration and other obligations under the federal securities laws.»

According to officials, while classifying an asset it is necessary to take into account the economic nature of the asset, user cases and the underlying technology.

The head of the SEC Jay Clayton noted that broker dealers and mutual funds should adhere to anti-money laundering policies and report suspicious activity. He believes that these requirements apply to all activities related to digital assets.

Recently, the consulting company financial Integrity Network recommended that the US Congress create a new category of financial institutions in accordance with the Bank Secrecy Act to regulate the activities of cryptocurrency companies.

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.

Cryptos feed

Latest Crypto News


Latest Crypto News & Analysis

Editors’ Picks

Dominance war to push Ethereum to $270

The Altcoin segment is still in full swing while the crypto board leaders, Bitcoin and Ethereum, remain stuck at the same levels as in recent weeks.

More Bitcoin News

XRP/USD glued to $0.2000 after a failed recovery attempt

Ripple's XRP is changing hands at $0.2000, mostly unchanged both on a day-to-day basis and since the beginning of Monday. The coin has been locked in a tight range since July 11 after a retreat from the recovery high of $0.2117.

More Ripple News

IOT/USD lift-off to moon begins as $0.30 draws nigh

IOTA is among the biggest single-digit gainers on the day. Most cryptocurrencies in the market remain lethargic in their trading. However, some selected coins are leading recovery including Chainlink, Tezos, NEO and Dash. 

More IOTA News

Ethereum Price Update

Ethereum (ETH) is changing hands at $243.90,  mostly unchanged both on a day-to-day basis and since the beginning of Monday. The second-largest digital asset has recovered above the short-term channel resistance $24.00, however, the further upside has stalled above $243.00. 

More Ethereum News

BEST CRYPTO BROKERS/EXCHANGES

Bitcoin Weekly Forecast: BTC volatility drops to a year low, get ready for a spiral drive

The week was tough for the cryptocurrency markets confined to tight ranges. Bitcoin has lost 1% of its value during the recent seven days with the trading range limited by $9,298 on the upside and $8,933 on the downside.

Read the weekly forecast

BTC

ETH

XRP