Benzinga - The Commodity Futures Trading Commission (CFTC) has proclaimed itself as the top crypto enforcement agency. This comes after a year marked by a record-breaking number of enforcement actions targeting the cryptocurrency sector.
What Happened: CFTC announced it has become the leading enforcement agency in the cryptocurrency sector, launching a historic number of cases this year. Decrypt reported on Tuesday that the CFTC’s actions signal a significant uptick in regulatory scrutiny over the digital asset industry.
"In financial year 2023, the CFTC cemented its reputation as a premier enforcement agency in the digital asset space," the regulator's statement said.
During the fiscal year 2023, the CFTC initiated 47 enforcement actions related to digital asset commodities. This figure accounts for over 49% of the total enforcement actions undertaken by the regulatory body, culminating in penalties and restitutions exceeding $4.3 billion.
According to the CFTC’s statement, these numbers underpin the agency’s claim to the title of “premier enforcement agency” within the digital asset space. The CFTC Chair, Rostin Behnam, expressed his pride over the CFTC’s performance in addressing crypto-related misconduct.
See Also: Bitcoin, Ethereum, Dogecoin Soar As Weaker Jobs Data Signals Potential Rate Hike Pause By Fed: Analyst Sa
Some of the CFTC’s most noteworthy actions include cases against the defunct exchange FTX and its former CEO Sam Bankman-Fried, the leading crypto exchange Binance, and the now-bankrupt lender Celsius Network.
Meanwhile, the SEC, under Chair Gary Gensler, faces criticism from Congress for its approach to crypto regulation. Representative Patrick McHenry (R-NC) accused the SEC of causing confusion and damage to the digital asset ecosystem.
The CFTC’s recent announcement also highlighted its actions against several decentralized finance (DeFi) protocols, pointing to a growing focus on this innovative segment of the crypto industry. Companies like Opyn, Inc., ZeroEx, Inc., and Deridex, Inc., have all settled charges with the CFTC for allegedly offering illegal leveraged transactions in digital asset commodities.
Why It Matters: The CFTC’s assertive stance on crypto enforcement aligns with calls from key lawmakers for more coordinated regulatory efforts. U.S. Congresswoman Maxine Waters (D-CA), Chairman of the House Financial Services Committee, has advocated for synergy among the Treasury, Federal Reserve, CFTC, and Securities and Exchange Commission (SEC) to effectively regulate the crypto sphere. Waters highlighted the urgency of a collaborative approach in the wake of significant exchange collapses like FTX.
Price Action: At the time of writing, BItcoin (CRYPTO: BTC) was trading at $34,713.55 down 0.49% in the last 24 hours, according to Benzinga Pro.
This content was partially produced with the help of Benzinga Neuro and was reviewed and published by Benzinga editors.
Photo by Mahambah on Shutterstock
Read Next: What In The World Is Going On With Dogecoin?
© 2023 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.