The Senate Banking Committee plans to hold a hearing on Feb. 6 to examine the Securities and Exchange Commission and Commodity Futures Trading Commission’s roles in overseeing virtual currencies.
SEC Chairman Jay Clayton and CFTC Chairman J. Christopher Giancario stated in a Jan. 25 joint Wall Street Journal op-ed that both regulators are tasked with setting and enforcing rules “that foster innovation while promoting market integrity and confidence.”
In recent months, the two wrote, the SEC and CFTC “have seen a wide range of market participants, including retail investors, seeking to invest in DLT [distributed ledger technology] initiatives, including through cryptocurrencies and so-called ICOs — initial coin offerings.”
They added: “Experience tells us that while some market participants may make fortunes, the risks to all investors are high. Caution is merited.”