The U.S. Commodity Futures Trading Commission has proposed its first round of crypto market regulations, advancing the framework it had been developing under existing statutory authority after the Senate failed to advance the Clarity Act. Regulation Crypto Asset Transactions and Regulation Crypto Asset Markets would create a purpose built federal regime for CFTC-registered exchanges offering crypto assets such as bitcoin and ether, which a joint CFTC and Securities and Exchange Commission interpretation classified as non-securities within the CFTC’s authority. The proposals would not require crypto assets to trade on CFTC-registered platforms, a mandate the agency said would require congressional action. Instead, they would give crypto exchanges the option to operate under a single federal market regulatory scheme. Registered platforms could offer retail customers margined, leveraged or financed trading and would be subject to federal standards addressing manipulation, abusive practices, market transparency, conflicts of interest and customer asset protection. The CFTC characterized the proposals as an initial step toward closing gaps in crypto asset market structure while acknowledging that agency rules cannot indefinitely substitute for legislation establishing a statutory framework.
U.S. Commodity Futures Trading Commission proposes first crypto market rules for federally registered exchanges
The U.S. Commodity Futures Trading Commission has proposed its first crypto market regulations, creating an optional federal framework for registered exchanges offering non-security crypto assets. The regime would permit retail margined, leveraged or financed trading under federal market integrity and customer protection standards, but would not require crypto assets to trade on CFTC-registered platforms.