Former CFTC chairman warns of conflicting interests in Senate weighing market structure

Gate News bot message, according to Cointelegraph, on Tuesday, the U.S. Senate Banking Committee's digital asset subcommittee will hear testimony from former regulators and industry leaders to consider legislation establishing a framework for the digital asset market structure.

Rostin Behnam, Chairman of the Commodity Futures Trading Commission (CFTC), said in his prepared testimony at a hearing on Tuesday that the current trajectory of regulatory agencies is unsustainable if the regulatory gap for cryptocurrencies is not addressed. He suggested that legislators consider market structure requirements focusing on "customer protection, conflict of interest avoidance, and market resilience."

The testimony stated: "[...] I do not believe that the public's interest in digital assets will diminish; not acting will only bring greater risks to our financial markets and investors, due to the lack of market transparency, fraud, market manipulation, corruption, and conflicts of interest."

"As the digital asset market continues to integrate into traditional financial institutions, concerns about broader market resilience and even financial stability will intensify."