US Govt Trading Commission Recognizes Bitcoin as a Commodity

US Government Trading Commission Recognizes Bitcoin as a Commodity. newsbtc bitcoin news.

Much like gold, oil, or soybeans, Bitcoin is now officially considered a commodity. The agency that regulates the US commodity trading market, the Commodity Futures Trading Commission (CFTC) has finally recognized the digital currency as a commodity.

The debate on bitcoin can be defined as a commodity or not as been here for quite some time and the FCTC.  By officially recognizing the digital currency as a commodity the CFTC assures its authority to supervise the trading of digital currency futures and options, which will now be subject to the agency’s regulations. If there is any irregularity, such as manipulation, the CFTC may file charges against the officials of that market.

Furthermore, if a company wants to operate a trading platform for Bitcoin derivatives or futures, you’ll need to register for it. From now on, if a company is caught engaging in wrongdoing, such as futures manipulation, they stand to face charges against the CFTC.

Aitan Goelman, director monitoring the CFTC stated:

“While there is much buzz around the Bitcoin and other virtual currencies, innovation is no excuse for those who act in this space do not follow the same rules applicable to all participants in commodity derivatives markets.”

Bitcoin, made its first appearance back in 2009 and its acceptance has increased as more retailers allow consumers to pay for goods and services to the coin. Virtual currencies, are not controled by a central government and ever since the Mt.Gox Exchange event, has been examined in detail

This comes as the consolidation for the road leading to mainstream adoption and an important mark in the history of bitcoin. For the first time, The CFTC, considers that the Bitcoin and other virtual coins are properly defined as commodities.

Source

Exit mobile version