US Insight

Bitcoin

The US Commodity Futures Trading Commission has officially declared Bitcoin a commodity.

The Commission, which regulates the futures and options markets, stated in a press release last week that it has ruled for the first time that “Bitcoin and other virtual currencies are properly defined as commodities.”

“While there is a lot of excitement surrounding bitcoin and other virtual currencies, innovation does not excuse those acting in this space from following the same rules applicable to all participants in the commodity derivatives markets,” said CFTC’s Director of Enforcement Aitan Goelman.

The CFTC brought charges against, and settled with, Bitcoin exchange Coinflip, which operated a Bitcoin derivatives market.