CFTC (Commodity Futures Trading Commission) warns again on crypto trading, informed customers to use caution and go through extensive research before purchasing virtual coins or tokens, including those that are self-described as “utility coins,” or “consumption coins.”

Derivatives regulatory body has constantly and meticulously been scrutinizing and monitoring frameworks to ensure ease and secured way of trading.

For an instance, very recently the probing procedure on potential manipulation in cryptocurrency markets, the CFTC has summoned the predominant American cryptocurrency exchanges to produce volumes of trade data, Bitstamp, Coinbase, itBit and Kraken, 4 exchanges that provide Bitcoin spot prices used to settle futures contracts at the Chicago Mercantile Exchange (CME) and have got summonses from the Commodity Futures Trading Commission (CFTC) after allegedly failing to voluntarily provide trade data.

“This advisory is part of the CFTC’s education and outreach efforts to help educate and inform market participants, who, given the pace of technology-driven change, will increasingly come in contact with new financial products and services,” mentioned Erica Elliott Richardson, Director of the Office of Public Affairs and Office of Customer Education and Outreach. “The CFTC’s Office of Customer Education and Outreach closely coordinates with LabCFTC in order to keep pace with developments in the markets the CFTC regulates, and we look forward to staying ahead-of-the-curve in providing customers the information they need to protect themselves against fraud or manipulation in the marketplace.”

Most importantly, the precise research was advised by the advisory. Their perspective is that a thorough research on both the digital coins/tokens, the individuals, entities and affiliates who are offering the products can ensure the client’s best protection. Courtesy: CFTC sources