Caroline Pham, one of the five commissioners of the Commodity Futures Trading Commission, believes that after Ripple’s partial victory, the path to regulatory transparency regarding cryptocurrencies in the US has been paved.
Speaking on Bloomberg TV on July 17, Commissioner Pham ha stated HE Recent major court decisions regarding the classification of crypto assets will eventually lead to greater regulatory transparency..
“Last year, I argued around the definition of a financial guarantee that we would first see more regulatory transparency in the courts, and I think we saw that with some very important insights being disclosed.”
Pham said he looks forward to participating in regulatory working groups and hopes other U.S. regulators, such as the Securities and Exchange Commission, will participate. Work together to develop a “holistic approach” to cryptocurrency regulation.
Pham’s comments come days after San Francisco fintech firm Ripple won a partial victory in an ongoing court battle in which the SEC accused the firm of trading unregistered securities.
On July 14, Judge Analisa Torres of the Southern District of New York declared that XRP (XRP) does not constitute a security when marketed to individual investors on digital asset exchanges.
Thanks to @BloombergTV for giving us the opportunity to discuss GMAC’s important initiatives! Beyond cryptocurrencies, institutional markets and central banks are considering tokenizing real assets like bonds. Today we listened to developments and leading indicators in the international, USA and Europe.
Thank you @BloombergTV for the opportunity to talk about our key GMAC initiatives! Beyond crypto, institutional markets and central banks are looking at tokenization of real assets like bonds. Today, we received information about international, US and EU developments and important implications. https://t.co/cWTShDy2Bf
— Caroline D. Pham (@CarolineDPham) 18 July 2023
Sentence Not welcomed by the SEC chairman Gary Gensler, who described it as a disappointment at the July 17 press conference. Gensler had already suggested that every digital asset other than Bitcoin is a security, although the same institution wouldn’t go so far as to say the same thing.
However, Gensler promised to continue sanctions actions after Ripple’s recent victory.
Commissioner Pham also stressed the importance of real asset tokenization (RWA extension). He said there were “real opportunities” for modernize financial markets by tokenizing money market funds on the blockchain.
Traditional financial firms have increased their engagement with real asset protocols, resulting in several RWAs. recently outstripped DeFi assets.
Translation of Walter Rizzo