Crypto and bitcoin have problems the CFTC and SEC can't fix - American Banker

The debate over how to regulate digital assets often centers on which agency should hold authority — the Commodity Futures Trading Commission or the Securities and Exchange Commission. But as American Banker notes, some of crypto's core problems may sit beyond the reach of either regulator.

That distinction matters for market participants. Agency jurisdiction determines how tokens are classified, which platforms must register, and what disclosures investors receive. Yet regulatory clarity alone cannot address structural issues such as custody risk, market fragmentation, or the reliance on intermediaries that can fail independently of any rulebook.

For observers, the practical takeaway is to separate regulatory headlines from underlying market conditions. Watch how the two agencies divide oversight responsibilities, how enforcement actions evolve, and whether legislation clarifies the boundary between commodities and securities. Those developments shape compliance costs and market access — but they are not a complete answer to the risks embedded in crypto market structure itself.