CFTC Discloses $15 Million Payment to Crypto Whistleblowers
The Commodity Futures Trading Commission (CFTC) has announced the award of $16 million to whistleblowers this year with a significant amount going to crypto-related cases.
In an Oct 31 press release, Commissioner Christy Goldsmith Romero speaking on the Whistleblower policy highlighted the achievements, awards offered, and associated judgments as financial regulators tighten their activities.
Statement of @CFTCcgr in Support of the CFTC’s 2023 Annual Report on the Whistleblower Program and Customer Education Initiatives: https://t.co/imG9Lhu20x
— CFTC (@CFTC) October 31, 2023
The US regulator noted that the program has yielded positive results so far leading to a better enforcement regime adding, “Whistleblowers play a vital role in supporting CFTC investigations related to fraud and other illegality. The CFTC could not fully protect customers and markets without whistleblowers.”
This year the Commission gave $16 million in awards including $15 million given in two instances in September although the regulator did not disclose the nature of the cases at the time.
Romero added that a majority of tips received this year have come from the cryptocurrency market, “an area that continues to have pervasive fraud and ogler illegality.”
This year, regulators have ramped up efforts to effectively regulate the digital asset market following several infamous collapses and bankruptcies recorded last year which many blame on a lack of a regulatory framework.
Romero commended the efforts of the CFTC’s Office of Customer Education and Outreach in educating the public on ways to protect their funds and to identify popular scams. This is quite important because as the adoption of crypto increases, more retail consumers are now under the
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