A collection of fintechs on Monday announced the launch the Virtual Commodity Association (VCA), a New York-based trade group that aims to develop best practices in the emerging cryptocurrency sector.
The VCA working group — which includes Bitstamp, Inc., bitFlyer USA, Inc., Bittrex, Inc., and Gemini Trust Company, LLC —will hold its inaugural meeting in September as it pursues the development of a self-regulatory organization (SRO) to oversee virtual commodity markets.
The VCA will have an executive director, an independent board, and will initially work to develop a framework for industry best practices.
The group’s interim executive director will be Maria Filipakis, who was formerly an executive deputy superintendent at the New York Department of Financial Services, which has developed some initial rules the for virtual currency sector.
“I applaud the VCA and its members in their commitment to strengthen the digital asset industry’s regulatory landscape, rules for the protection of customers, and bring forth industry setting best practices and market transparency,” says Filipakis in a statement.
Commenting on the group’s announcement, Brian Quintenz, commissioner with the U.S. Commodity Futures Trading Commission, said: “Given the absence of federal oversight jurisdiction in the crypto market, in February and again in March of this year I called on the crypto platform community to come together and develop a self-regulatory organization-like entity that could develop and enforce rules I am pleased that progress has been made on such a concept. Ultimately, an independent and empowered SRO-like entity could have a meaningful impact on the integrity and credibility of this young marketplace.”