The suggested rules of 15 December 2017 exempt contracts when they’re delivered within 28 days. They set “two primary facets necessary to demonstrate ‘real delivery’ of retail product transactions in virtual currency: (1) a client having the ability to: (I) take possession and management of the whole quantity of the commodity, whether it had been purchased on margin, or using leverage, or any other financing arrangement, and (ii) use it freely in trade (both inside and away from any specific platform) no later than 28 days from the date of the trade,” the statement summarized.
Participants have three months to issue their own thoughts on the suggestions, which also include “(2) that the offeror and counterparty vendor (including any of their respective affiliates or other persons acting in concert with the offeror or counterparty vendor on a similar basis) not keeping any interest in or control over some of the commodity purchased on margin, leverage, or alternative financing arrangement at the expiration of 28 days from the date of the transaction,” the CFTC noted.
Such caution is widely Thought to be a means for the agency “to crack down on so-called ‘bucket shop’ outfits which take retail investors’ cash fraudulently claiming to throw it right to a virtual currency, but no underlying trade actually happens,”
CFTC Launches Gloomy Bitcoin Website, Podcast
Friday also saw another first, a CFTC page dedicated exclusively to bitcoin. It intends to give online “funds for market participants and customers on virtual money and the CFTC’s role in the supervision of this emerging invention.”
Its maiden incident is a roundtable of all CFTC directors discussing existing and forthcoming bitcoin futures. They each read trivial introductions as to their purpose, and each participant seems as though they’re directing flight traffic over a very large international airport. The host is also quite enthusiastic about everything.
The website includes a primer on bitcoin in addition to the ominously titled, Know the Risks of digital Money Trading. The one and a half webpage oddly formatted document warn: “Virtual monies are generally targeted by hackers and criminals who perpetrate fraud. There is no assurance of recourse if your virtual money is stolen. Be careful how and where you store your virtual currency.”