CFTC has declared that Federal Court agrees with the agency’s ruling of virtual currencies are commodities. So, does this mean it ends the security and commodity debate for all the cryptocurrencies?
Cryptocurrencies are Commodities, CFTC Asserts
The US Commodity Futures Trading Commission (CFTC) announced on Twitter that Federal Court finds virtual currencies as commodities.
According to the official report on CFTC website, on September 26, 2018, the Senior Judge Rya W. Zobel of the US District Court for the District of Massachusetts declared that CFTC has the power to prosecute fraud relating to virtual currencies.
In response, CFTC Director of Enforcement James McDonald commented:
“This is an important ruling that confirms the authority of the CFTC to investigate and combat fraud in the virtual currency markets. This ruling, like the one in McDonnell from Judge Weinstein in the Eastern District of New York, recognizes the broad definition of commodity under the CEA, and also that the CFTC has the power to prosecute fraud with respect to commodities including virtual currencies. We will continue to police these markets in close coordination with our sister agencies.”
