CFTC Chair Says Ethereum Is Commodity

CFTC Chair Rostin Behnam has stated that he views Ethereum, the second-largest cryptocurrency, as a security, but SEC boss Gary Gensler disagrees with him

Commodity Futures Trading Commission Chair Rostin Behnam has reiterated that Ethereum, the second-biggest cryptocurrency, is a commodity while speaking at a symposium on Oct. 24, Fortune reports.

At the same time, Behnam claims that Securities and Exchange Commission Chair Gary Gensler has a different opinion on that matter.

As reported by U.Today, Gensler has repeatedly refused to comment on the regulatory status of Ethereum. However, he claimed that there was a strong case for the second-biggest cryptocurrency to be classified as an unregistered security back in 2018 when the former Goldman Sachs partner was teaching a course at the Massachusetts Institute of Technology (MIT).

At the same time, Gensler has repeatedly recognized Bitcoin as a commodity, meaning that the largest cryptocurrency is not under the purview of the SEC.

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The cryptocurrency industry lobby has been persistently pushing for giving the CFTC more sway over the cryptocurrency market. They believe that the commodities regulator would be more lenient toward digital assets.

On the other hand, Gensler has repeatedly stated that the vast majority of existing cryptocurrencies are unregistered securities.

Behnam has rejected the idea that the CFTC would be softer on crypto, claiming that the agency’s enforcement record “speaks for itself.”

He claims that the CFTC and the SEC should work together in order to regulate cryptocurrencies in an efficient manner. At the same time, he recognized that regulators might not be doing enough in order to provide industry players with regulatory clarity.