On April 27, 2023, Daniel Gorfine testified before the House Financial Services Subcommittee on Digital Assets, Financial Technology, and Inclusion on “The Future of Digital Assets: Identifying the Regulatory Gaps in the Digital Asset Market Structure.”
In his testimony, Daniel discussed the current landscape for spot or cash digital asset trading activity, which means the buying and selling of an asset for immediate delivery, and noted that this space is largely regulated at the state level under money transmission frameworks (or those tailored to cryptocurrencies, as in New York), while federal regulators apply various rulesets depending on the specific digital asset and activity involved. Notably, under the status quo, Daniel stated that digital asset exchanges that mirror the activities of traditional exchanges and facilitate the matching of trades for digital assets that are commodities are not subject to comprehensive federal market oversight and supervision.
You can find Daniel's full testimony here.
