Wall Street Watchdogs Seek More Muscle to Police Bitcoin Trades

The top US financial regulators want Congress to give them new powers to directly oversee trading in Bitcoin, the world’s largest cryptocurrency.

In a Monday report, the heads of the Federal Reserve, the Treasury and other leading financial watchdogs said the government has limited ability to regulate crypto assets that aren’t covered by securities laws. Although many tokens fall under the Securities and Exchange Commission’s rules, some, like Bitcoin, are not directly under any federal agency’s jurisdiction.

“As a result, those markets may not feature robust rules and regulations designed to ensure orderly and transparent trading, to prevent …