CFTC Under Trump Becomes More Vigorous On Crypto Fraud Than Ever

Enforcement actions and fines by the federal derivative market regulator market ticked up in the last fiscal year due to the major crypto fraud cases, spoofing schemes and settlements dating back to the financial crises. The federal derivatives market under President Trump, regulator charged about $900 million in civil consequences in 2018 alone as compared to the amount in 8 years of the Obama administration. The increase follows a year over year decline in fiscal 2017 where some of the consumer groups showed criticism.

The CFTC filed five times more spoofing related cases, practices that distort prices, in the past year than any prior year. The agency also won a court judgment that determined cryptocurrencies are commodities, which permits the regulator to police cryptocurrency markets.

According to J. Christopher Giancarlo, the agency in 2018 charged fines which were more than $10 million in 10 crypto fraud cases, as compared to an average of three cases per year under the Obama administration. The CFTC chairman, praised the agency’s implementation activity numbers in a performance in Minneapolis last week, calling it the most energetic enforcement in its history.

The CFTC actions are anticipated to contrast with those of the Securities and Exchange Commission (SEC). As per CCN news, the two agencies police differ in sections of the monetary markets, with some similarity on offshoots and other areas.

Chairman Giancarlo had previously mentioned that crypto fraud is not uncommon. However, cryptocurrency could attain important acceptance in the two-thirds of countries without steady currencies. The Trump appointee, as CCN previously reported, has been nicknamed “CryptoDad” for his congressional witness in which he guided representatives to not terminate cryptocurrency out of hand just because it pleases more to younger investors. He further stated that cryptocurrency is will stay for a longer period, even if it never attains the eventual objective of becoming the world’s foremost currency.

[The views and opinions expressed in this article are those of the authors and do not necessarily reflect the views and/or the official policy of the website. ]

Janhvi has been working as a content writer/editor for many years. With her interpersonal skills, she has the ability to generate content in a clear and precise manner. She is currently writing cryptocurrency news stories for OWLT Market.

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