CFTC Commissioner Compares Crypto Market Crash to 2008 Global Financial Crisis
Source: Adobe/JHVEPhoto The current crypto market downturn is comparable to the 2008 global financial crisis, and more regulatory oversight is needed, according to Christy Goldsmith Romero, commissioner of the Commodity Futures Trading Commission (CFTC). Speaking at a forum hosted by the International Swaps and Derivatives Association in New York on Wednesday, Romero said the crypto market has shown “vulnerabilities” similar to those in the global financial crisis, and stressed that contagion from crypto to traditional markets is a real risk. “Cryptocurrency was supposed to break from the traditional financial system, and all of its fragility and vulnerabilities. However, this spring, unregulated crypto markets revealed their vulnerabilities to similar financial stability risks as traditional finance, with parallel themes from the 2008 financial crisis,” Romero said. The Democrat-appointed CFTC commissioner further said that she is an advocat...