CFTC Can Regulate Cryptocurrencies as Commodities, Court Rules

A federal court has confirmed that the CFTC has authority to regulate Bitcoin and other cryptocurrencies as commodities.

“Until Congress clarifies the matter, the CFTC has concurrent authority, along with other state and federal administrative agencies, and civil and criminal courts, over dealings in virtual currency,” a judge for the U.S. District Court for the Eastern District of New York said in an opinion issued late March 6.

The decision allows the Commodity Futures Trading Commission to proceed with a fraud enforcement case against Cabbage Tech Corp., doing business as Coin Drop Markets, and its CEO, Patrick McDonnell.

The CFTC ...