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CFTC Chair: “The U.S. is now the crypto capital” … Push to overhaul digital-asset regulation
Summary
- CFTC Chair Michael Selig said “the U.S. has now become the crypto capital,” vowing to ускор up efforts to overhaul the regulatory framework for digital-asset markets.
- He said the CFTC is preparing a crypto classification framework to clarify whether specific assets fall under CFTC or SEC jurisdiction, and is also drafting guidance on intermediary registration requirements for developers of non-custodial software such as digital wallets and decentralized finance (DeFi) applications.
- Selig said the agency is reviewing application of the ‘actual delivery’ exception for crypto commodity transactions involving leverage or margin, and stressed that the Project Crypto initiative with the SEC will provide clarity to market participants by establishing a joint regulatory framework.
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The head of the U.S. Commodity Futures Trading Commission (CFTC) said the United States is positioning itself as the hub of the crypto industry and vowed to ускор up efforts to refine the regulatory framework for digital-asset markets.
According to crypto (cryptocurrency) news outlet The Block on the 10th, CFTC Chair Michael Selig said in remarks at the FIA Annual Industry Conference held the previous day that “the U.S. has now become the crypto capital.”
He said, “As markets continue to digitize and crypto becomes mainstream, we stand at the starting point of another wave of innovation.”
On digital-asset market regulation, Selig explained that “the CFTC will establish a crypto classification framework to clarify whether a given asset falls under the CFTC’s jurisdiction, the SEC’s jurisdiction, or both.”
He also said of non-custodial software developers, “I instructed staff to develop guidance on how CFTC intermediary registration requirements apply to developers of non-custodial software systems such as digital wallets or decentralized finance (DeFi) applications.”
Selig added that the agency is also reviewing retail trading rules, saying it is “examining under what circumstances leveraged or margined crypto commodity transactions can qualify for the ‘actual delivery’ exception and be offered as off-exchange transactions.”
He further stressed CFTC cooperation with the Securities and Exchange Commission (SEC), saying, “Through the Project Crypto initiative, we aim to end the era of conflict between the two agencies and provide clarity to market participants.” The initiative seeks to reduce regulatory clashes between the agencies and establish a joint regulatory framework for digital-asset markets.
Meanwhile, regarding prediction markets, he added, “Combining blockchain with prediction markets could allow decentralized trust and fact-checking to function as a check on misinformation.”
Minseung Kang
minriver@bloomingbit.ioBlockchain journalist | Writer of Trade Now & Altcoin Now, must-read content for investors.
