Appropriate Regulatory Oversight for Digital Currency as a Commodity
Pp. 63-64 (2)
Jeffrey H. Matsuura
Virtual currencies are bought and sold in digital markets in the same manner
as other goods, subject to traditional laws governing contracts, commercial sales, and
consumer protection. Those currencies are also used as the basis for financial products
including future contracts and other financial derivatives. When digital currency is
traded as a financial product and when digital currency platforms are used to create and
operate financial markets, the currency and its platforms are subject to the oversight of
financial regulators. This dual nature of legal compliance associated with virtual
currency and its platforms is essential. Under these circumstances, digital currency
systems and activities face different legal compliance challenges depending on their
specific functions. Understanding this environment is essential for effective legal
compliance in the virtual currency community.
CFTC, contracts, exchanges, LedgerX, markets, TeraExchange,
Enterprise Business Law Group LLC, USA.