CFTC: tokens to ‘transform’ into commodities

CFTC commissioner reports on the possibility of the tokens ‘transformation’ from securities into commodities
24 October 2017   1145

Brian Quintenz, a commissioner at the Commodity Futures Trading Commission (CFTC), claimed that tokens may “transform” from securities into commodities while speaking at the first annual FinTech Week. The man suggests that tokens can meet distinct regulatory classifications at different times. The assumption, actually, aligns with the policy view of industry experts like Coin Center.

Digital currencies "may actually transform at some point from something that starts off as a security and transforms into a commodity,” speculated Quintenz, as reported by politicopro.com.

That's going to be a very difficult but important conversation for us to have to give the market certainty, to allow for innovation to flourish and continue, but [it’s necessary] to make sure that we're being consistent in how we apply commodity law and protection of consumers across all products.
 

Brian Quintenz
CFTC commissioner

It is worth noting that eatlir this week, LabCFTC issued a primer on virtual currencies. Although this did not constitute official policy, the agency enumerated examples of permitted activities including those of LedgerX, TeraExchange, and NADEX. Thus, LabCFTC explicitly stated that prohibited activities include “a virtual currency futures or option contract or swap traded on a domestic platform or facility that has not registered with the CFTC as a SEF [swap execution facility] or DCM [designated contracts market]".

Zuckerberg to See DLT in Single Sign-On Technology

As reported, such a solution will allow Internet users to refuse intermediaries when using credentials to interact with services
21 February 2019   86

Facebook founder and CEO Mark Zuckerberg said that distributed ledger technology could allow Internet users to access various services using a single account. The blockchain-based solution can become a competitor of the single sign-on (SSO) technology from Facebook.

A use of blockchain that I’ve been thinking about … though I haven’t figured out a way to make this work out, is around authentication and… granting access to your information to different services. So, replacing the notion of what we have with Facebook Connect with something that is truly distributed. Basically, you take your information, you store it on some decentralized system and you have the choice to log into places without going through an intermediary. 
 

Mark Zuckerberg

CEO, Facebook

Such a solution will allow Internet users to refuse intermediaries when using credentials to interact with various services. In addition, intermediary corporations will lose the ability to cut traffic.

Nevertheless, he stressed that in the case of the scandal with Cambridge Analytica and data leakage, Facebook was able to block unscrupulous developers from accessing personal data of users, and in the case where the latter can manage their data themselves, it will be impossible.

Zuckerberg added that society needs to answer the question whether it is ready to take full responsibility for its data, because in the case of malicious acts there will be no intermediary who can be held accountable.

He also confirmed that the amount of computation that Facebook is producing will be extremely difficult to decentralize.