US Treasury Secretary Janet Yellen spoke about the collapse of the crypto exchange FTX, which went bankrupt last week, saying, “Cryptocurrency markets need to be supervised more effectively.” In a statement, Yellen claimed that President Biden’s September order on digital assets identified many of the risk factors that played a role in FTX’s bankruptcy, emphasizing that the disaster could have been prevented if these reports turned into policy. “There were some risks we identified in these reports, including the pooling of client assets, lack of transparency, and conflicts of interest,” Yellen said. Financial regulators such as the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC), while taking enforcement actions against certain crypto companies in some periods, failed to effectively protect investors before FTX’s bankruptcy. For this reason, Yellen called for more regulatory action, calling not only federal agencies such as the SEC, but also lawmakers to take action.Yellen said, “The federal government, including Congress, needs to act quickly to fill regulatory gaps. “Although a bill on the subject has not yet been put to a vote, officials said they are currently working on legislation that will clarify crypto regulations. Yellen also stated that more than one million users have been harmed by the bankrupt crypto exchange FTX and said, “We have very strong investor and consumer protection laws designed to address these risks for many of our financial products and markets. Existing laws can be redesigned to be effective on crypto markets.”