FTX collapse helped the evolution of crypto regulation, says Bahamas securities regulator

From left to right: Forkast Editor-in-Chief Angie Lau, Bahamas Securities Commission Executive Director Christina Rolle, and Hogan Lovells Partner John Salmon. Image: D3 Bahamas

The collapse of cryptocurrency exchange FTX has helped the evolution of global cryptocurrency regulations, said Christina Rolle, the executive director of the Securities Commission of The Bahamas, during a panel discussion at the D3 Bahamas event on Wednesday. 

See related article: DOJ seeks to block Bankman-Fried from bringing up Anthropic fundraise in court

Fast Facts

• “Leading up to [FTX’s collapse] was a crypto winter that really informed a lot of what we saw as risks in the industry. As regulators, we saw that this is now beginning to look like some other things we understand,” said Rolle, when asked how the regulatory landscape evolved after FTX’s bankruptcy.
• “What you would see is the evolution of the regulation. We’re now dealing with things like staking and segregation of assets. We’re looking at how a digital asset firm may be vertically integrated and the inherent risks that may be there,” Rolle said.
• FTX, a crypto exchange based in the Bahamas, filed for bankruptcy in the U.S. on Nov. 11, 2022. Sam Bankman-Fried, the co-founder and former chief executive officer of the exchange has been charged with seven counts of wire fraud and money laundering. His trial began on Oct. 4.