SEC, CFTC Handshake on Memo to Regulate Markets in Harmony

The US Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC) have agreed to improve coordination in overseeing financial markets, aiming to resolve decades of internal conflicts. This decision comes as new technologies, like cryptocurrency, increasingly blur traditional regulatory boundaries. The agencies will focus on providing regulatory clarity through technology-neutral regulations, sharing information, and adopting a “minimum effective dose” strategy – applying only the necessary regulations to foster innovation while maintaining market integrity. Both the SEC and CFTC have been working to position the US as a leader in the crypto space, and this memo is seen as a step towards repairing the relationship between the agencies and preventing market participants from seeking more favorable jurisdictions. The memo covers a wide range of market participants and products, including trading platforms, clearinghouses, and crypto assets.

(Source：Cointelegraph)