What is the fate of cryptocurrency derivatives?

Colleagues, cryptocurrency ETFs, Exchange-Traded Notes (ETNs), Futures Contracts and Swaps have drawn the scrutiny and ire of regulatory bodies … particularly in England and the US. A key factor is whether cryptocurrencies are categorized as securities or commodities. Moreover, government entities are committed to protect the public interest of consumer or individual traders which may not have the resources nor expertise of institutional investors. This is true for the US CFTC and the British Financial Conduct Authority (FCA). In the US the CFTC has approved TrueEx exchange for Designated Contract Marketplace (DCM) swaps. Brexit aside, the British FCA is seeking to enforce the EU Anti-Money Laundering Directive (5AMLD). The Cryptocurrency Academy predicts that regulatory scrutiny for derivatives will not be resolved until the more fundamental issues (e.g. the legitimacy of crypto assets as securities or commodities are fully resolved in the coming 12-24 months. For now, we recommend the individual traders take a cautious approach to derivatives. Post a comment today! Lawrence – Cryptocurrency Academy (https://cryptocurrencyacademy.blogspot.com/)