The US Has a Renewed Urgency to Regulate Crypto Post-FTX

Bloomberg Crypto

The bankruptcy of crypto exchange FTX and the arrest of its former CEO San Bankman-Fried has had a lasting effect on the digital asset sector, for sure.

But it’s also made an indelible impact on the politicians and policy makers who are supposed to regulate the industry.

There was already a fire lit under some lawmakers when it comes to imposing regulations on crypto - Last year, President Biden issued an executive order asking agencies to take coordinated action on digital assets. And in the summer, Senators Cynthia Lummis and Kristen Gillibrand issued a bipartisan crypto bill that, among other things, would step up oversight on stablecoins and crypto energy usage.

And then there is the ongoing battle between the Securities and Exchange Commission and the Commodities Futures Trading Commission - over whether cryptocurrencies are securities…. or commodities.

But with an ongoing wave of crypto bankruptcies linked to FTX, government officials are confronted with a new sense of urgency surrounding digital asset regulation.

Bloomberg reporters Allyson Versprille and Lydia Beyoud join senior editor Mike Regan in this episode.

Subscribe to the Bloomberg Crypto Newsletter at https://bloom.bg/cryptonewsletter

See omnystudio.com/listener for privacy information.