I'm Not a Crypto Evangelist, CFTC Chairman Says

The head of the U.S. commodities regulator had a clear message: he is not a supporter for cryptocurrencies
17 April 2018   479

The Chairman of the Commodity Futures Trading Commission (CFTC), Christopher Giancarlo, denied his involvement in the promotion and support of the cryptocurrency. This is reported by CoinDesk.

Talks that Giancarlo is a supporter of bitcoin had began in February, after his report to the Senate committee. In it, in particular, he stated that "we owe it to this new generation to respect their enthusiasm about virtual currencies with a thoughtful and balanced response, not a dismissive one." At the same time, he advised legislators to study cryptocurrencies and fight against scammers who use the credulity of inexperienced investors.

Now the head of the CFTC said that he did not expect such a big reaction of the cryptocurrency community to his speech: in addition to tens of thousands of new subscribers on Twitter, he had his own hashtag # CryptoDad.

I neither expected nor desired that a few words spoken during a Senate hearing broadcast on C-SPAN would lead to an Andy Warhol '15 minutes of fame.' Nor was I - or am I - a virtual currency evangelist.

Christopher Giancarlo

The Chairman, Commodity Futures Trading Commission

He also recalled that "get rich quick schemers" and "shady entrepreneurs" are common in the cryptocurrency sector, but that they are joined by "a growing contingent of professional, institutional users."

What I had acknowledged at that Senate hearing is the existence of a community that views technology as an agent of social change. Many of them have come of age during the 2008 financial crisis - the same crisis to which Bitcoin had emerged in response.

Christopher Giancarlo

The Chairman, Commodity Futures Trading Commission

Mister Giancarlo also reminded that the Commodity Exchange Act contains no reference to cryptocurrencies, so the law must be reinterpreted to fit new technology - assuming it is not revised by legislators. 

Japan to Tighten Regulation Due to Zaif Hack

$ 62 000 000 worth cryptocurrency was stolen from the Zaif exchange few weeks ago
25 September 2018   82

Hacking of Zaif exchange is the reason for toughening control over the market by the financial regulator of Japan, Reuters reports.

The first measure taken was administrative sanctions against the exchange and its operator Tech Bureau Corp. The Financial Services Agency (FSA) has expanded the list of requirements for the latter, pointing out the need to identify preventive measures and search for the organizers of the theft.

Shortly before that, researchers of the Japanese financial company Tech Bureau Corp could not provide details of the theft of $ 62 million from the Zaif crypto exchange at the request of the FSA. The Osaka-based operator had to investigate the causes, consequences of the theft and options for compensating the victims. According to the Agency, the financial company could not cope with the task.

According to the Tech Bureau, the exchange was hacked on September 14 within a few hours. The problem with the server was discovered by the site staff on 17 September. Official confirmation of the incident and notification of the authorities was made only a day later.

Recall, the theft of $ 60 million from the Japanese stock exchange Zaif caused a surge of volatility of bitcoin. For a short time the price was able to overcome the distance of $ 400.