Bart Chilton, one of the five commissioners at the Commodity Futures Trading Commission, with other senior officials is discussing whether Bitcoin, a democratic yet controversial crypto-currency, should fall under strict regulation; the former told the Financial Times in one of its media interactions.
“Bitcoin is for sure something we need to explore”, said Bart while calling the virtual currency a “risky” one and the important measures must be taken to tackle the risk involved around it. “We need to ensure that we protect market and consumers, even in what at first blush appear to be ’out there’ transactions,” he opines further.
Bitcoin, since its inception in 2008, has been under heavy criticism for its non-traceability and the very chances it creates for money laundering. Despite fresh media interests and wide acceptance, Bitcoin has posed challenges in tackling illegal issues like drugs and pornography.
March this year, a branch of the US Treasury Department made an announcement regarding the firms which exchange or transfer Bitcoins as “money services business.” This means the firms must provide the government with the policies which tackle money laundering effectively. The firms which will not choose to be in compliance with US authorities will be far more risky to do business with.
After the announcement, many companies in North America have been subjected to close their business accounts while some of them have preferred to offshore their business, far away from US legislation. “Bitcoin is after all a world currency,” says Roger Ber, the founder of Bitcoinstore.com.
But there is also another side of the speculation, which mentions the currency would not be circled under CFTC unless it becomes the basis for a derivative contract. The future of Bitcoins in the US still is under the loads of conjectures.