Per CoinDesk:
The crumbling of crypto exchange FTX and its subsequent bankruptcy filing has brought much negative attention for the crypto industry. However, that may be just the wake-up call U.S. lawmakers need, said Hester M. Peirce, a commissioner at the Securities and Exchange Commission (SEC).
Peirce, who joined CoinDesk TV “First Mover” just moments before Bahamas-based FTX announced that it had filed for Chapter 11 bankruptcy protection in the U.S., said that despite the dark moment for the industry, FTX’s downfall could be the “catalyst” government agencies needed to “sit down” and create clear regulations.
“That doesn’t mean just bringing enforcement actions,” Peirce said, “but we also need to know, thinking about this as a society, how do we want to regulate this thing.”
Peirce said the difficulties that come with regulating digital assets could be solved in a more productive and efficient manner if the SEC and the Commodities of Futures Trading Commission (CFTC) were to coordinate in some fashion. In the past, former CFTC Chairman Timothy Massad has voiced his support for a self-regulatory organization (SRO) overseen by both the CFTC and the SEC.
“Having the SEC and CFTC work together makes a lot of sense,” Peirce said. “And even before Congress acts, we can do a lot of work jointly and get input from the border public.”
