The CFTC is seeking public feedback on a proposal that would allow federally regulated futures exchanges to host spot crypto trading, marking a significant step in the agency's digital asset agenda. Acting Chair Caroline Pham emphasized the regulatory simplicity needed to leverage existing powers under the Commodity Exchange Act to govern these markets without new legislation. Comments on the proposal are requested by August 18. While Pham envisions these regulations promoting U.S. market leadership, legal experts caution that the initiative might conflict with SEC regulations regarding the classification of assets as securities or commodities. This regulatory uncertainty may complicate the classification of certain crypto tokens that shift between categories due to their evolving nature, potentially exposing market participants to enforcement risks. Pham advocates for utilizing current frameworks instead of adopting complex foreign regulations, aiming to solidify the U.S. as a leading hub for crypto innovation within the next year and a half.

Source 🔗