Industry voices argue that commodity-style regulation could offer clearer rules and faster innovation
A growing debate around who should oversee the U.S. crypto market gained fresh momentum this week after ProCap BTC’s chief investment officer Jeff Park said the CFTC is better aligned with the industry’s structure and long-term needs. His comments arrive just days after two U.S. senators introduced a draft bill aimed at shifting significant regulatory authority from the SEC to the CFTC, intensifying discussions over the future of digital asset governance.
Park: CFTC Oversight Aligns With Crypto’s Global Structure
Speaking in a recent interview, Park argued that the Commodity Futures Trading Commission will ultimately command a larger portion of the crypto regulatory landscape. He described this shift as “directionally correct”, pointing to the CFTC’s existing focus on financial innovation, derivatives, leverage, and capital efficiency — areas he says mirror the infrastructure crypto networks are trying to build.
He added that treating crypto as a commodity is “consistent with the international nature of the market.” According to Park, the CFTC’s global commodities lens makes it better positioned to develop rules that match how digital assets move across borders and trading venues.
One market analyst noted, “The way crypto trades — globally, 24/7, deeply tied to derivatives — fits much closer to the CFTC’s mandate than the SEC’s.”
SEC Approach Draws Industry Criticism
Park also referenced growing dissatisfaction with the SEC’s posture toward crypto in recent years. Many companies and investors have criticized what they describe as a regulation-by-enforcement approach, arguing that it slows innovation and creates uncertainty.
“The U.S. is an onshore regulator for investment securities,” Park said, suggesting that the SEC’s purview does not map cleanly onto the borderless digital asset market.
His comments echo a broader sentiment within the industry, especially as developers argue that restrictive enforcement has constrained activity in areas like token issuance and decentralized finance.
New Legislative Push Favors CFTC Authority
The interview follows the introduction of a bipartisan draft bill by Senators John Boozman and Cory Booker, which would grant the CFTC primary authority over spot digital commodity markets. Boozman described the proposal as a step toward clear rules and consumer protection, addressing longstanding gaps in federal crypto oversight.
Park said clearer regulatory expectations could “allow more types of innovations”, including progress in DeFi protocols that have been hindered by legal ambiguity.
Leadership Questions at the CFTC Add to Uncertainty
The debate over crypto oversight comes as the CFTC itself faces leadership changes. Michael Selig, currently the SEC’s crypto task force chief counsel, is set to appear before lawmakers as part of his nomination process to lead the CFTC. Since September, acting Chair Caroline Pham has been the agency’s sole commissioner.
While the final regulatory structure remains unresolved, industry experts agree on one point: momentum is shifting. As Park emphasized, the CFTC’s expanded role appears not only likely but logical in shaping America’s next phase of crypto policy.
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.