Rostin Behnam, the chairperson of the U.S. Commodity Futures Trading Commission (CFTC), has issued a warning that the cryptocurrency industry can expect increased scrutiny from regulators in the coming months. Speaking at the 2024 Milken Institute Global Conference, Behnam predicts that there will be another wave of enforcement actions within the next six to 18 months or six to 24 months due to the rise in asset appreciation and renewed interest from retail investors.
Behnam emphasizes that the purpose of these enforcement actions is to safeguard investors. He highlights the importance of having a regulatory framework, transparency, and regulatory tools to combat fraud and manipulation. While acknowledging the potential of technology and digital assets, he urges a regulatory and consumer protection perspective as the guiding principle in shaping the conversation and closing regulatory gaps to ultimately protect American investors.
The CFTC chair also notes that there is a consensus among U.S. lawmakers on the need for regulations specific to crypto assets. He recognizes the sustainability and growth of this asset class, despite the setbacks faced in 2022 that impacted the industry. Behnam sees a growing market, increased capital investment, and renewed interest from entrepreneurs.
It is important to note that the opinions expressed in this article are not investment advice, and investors should conduct their own research before making high-risk investments in Bitcoin, cryptocurrency, or digital assets. Transfers and trades are executed at one’s own risk, and any losses incurred are the responsibility of the individual. The Daily Hodl does not endorse the buying or selling of cryptocurrencies or digital assets, nor does it provide investment advice.
