The Chairman of the Commodity Futures Trading Commission is concerned about the risks brought by spot Bitcoin ETF products

Commodity Futures Trading Commission Chairman Rostin Behnam expressed his concern that the recently approved Bitcoin spot ETF product has brought risks, and once again called for the establishment of cryptocurrency regulatory legislation at the federal level. Behnam's remarks were made two weeks after the U.S. Securities and Exchange Commission approved the first batch of Bitcoin spot exchange-traded funds, which have so far generated billions of dollars in trading activity.

 

In a speech prepared for an event at the American Bar Association on Friday, Behnam said: "I am concerned that regulatory approval of Bitcoin ETPs has introduced risk, despite yellow flags, a8c36287-dfdb-4a0d-b03a-46d493d8843a participants - whether retail or institutional - may mistakenly equate technical approval of a product with actual regulation of cash commodity digital assets."

 

Behnam has been calling for legislation to help regulate cryptocurrencies. He stated that there are currently no solid measures to "address opaque and inconsistent practices in digital asset cash markets", these issues involve conflicts of interest and customer protection among others.