Former CFTC Acting Chairman: No Congressional Legislation Needed, Existing Framework Sufficient to Regulate Crypto Market

BlockBeats news, October 12: Caroline Pham, former Acting Chairman of the U.S. Commodity Futures Trading Commission (CFTC) and current Chief Legal Officer and Chief Administrative Officer at MoonPay, stated that the Commodity Exchange Act grants the CFTC broad regulatory authority, and the existing regulatory framework can cover emerging commodity areas such as crypto assets without waiting for congressional legislation. Pham believes that the CFTC's recently proposed rules will help strengthen protections for U.S. crypto retail traders.

She pointed out that bringing relevant transactions onto strictly regulated trading platforms is more conducive to investor protection than regulating them separately under differing state laws. Regarding stablecoins and tokenized deposits, Pham stated that tokenized deposits are better suited for wholesale financial markets. If all transactions within a trading day were settled in real time and atomically via blockchain, the required cash scale could reach $15 trillion, which existing funds cannot support. Banks currently offset receivables and payables between counterparties through net settlement, so tokenized deposits will play an important role in wholesale markets; stablecoins are more suitable for scenarios where counterparties lack trust and need to reduce settlement risk.

Additionally, Pham expects that within the next two years, the New York Stock Exchange and Nasdaq will begin listing and trading truly tokenized stocks, generating substantial trading volume. She emphasized that truly tokenized stocks should preserve shareholder rights such as voting rights, distinguishing them from synthetic tokens not approved by the issuing company.