US regulators say they don’t have enough power over cryptocurrency exchanges

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Two of the nation’s top financial regulators say Congress to may need to grant them new powers if they are to protect consumers from fraud on cryptocurrency exchanges, The Washington Post reports.

The digital trading platforms allow investors swap dollars for Bitcoin or other virtual currencies.

But when asked by federal lawmakers on Tuesday whether they had enough authority to shield cryptocurrency investors from scams, market manipulation and abuse, top officials from the Securities and Exchange Commission and the Commodity Futures Trading Commission said the agencies may need more legislative authority.

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“When you have an unregulated exchange, the ability to manipulate prices goes up significantly,” said SEC Chairman Jay Clayton. “Just a few coordinated sales can change the price.”

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