The Commodity Futures Trading Commission is seeing demand from crypto exchanges planning to register under its newly proposed rules for digital assets, CFTC Chairman Michael Selig said this week at Cantor Convergence in Miami Beach.
In October, the CFTC proposed rules aimed at preventing abuse in crypto markets and establishing federal transaction rules. Major crypto exchanges already registered with the CFTC because they offer derivatives like perpetual futures would now be able to add spot trading under the framework. Selig told CNBC that new entrants are also expressing interest, saying they prefer registering with one federal regulator rather than 50 state regimes.
"We're also getting interest from new entrants who say, 'Look, signing up with 50 different state regimes is tough. We'd rather come to one regulator and get a license at the CFTC' so those new entrants are lining up to come register with us as well," Selig said.
The CFTC moved to establish its framework using existing statutory authority after the Clarity Act, a comprehensive digital asset regulatory bill, stalled in the Senate in September. Selig said the agency will continue protecting markets and customers using its available legal powers.
The oversight framework is opt-in for exchanges not currently offering margin, leverage, or financing, which existing state rules do not permit. Selig expressed hope that the rules will prevent software developers and crypto businesses from relocating offshore. He said he remains prepared for potential congressional scrutiny in 2027, when Democrats are set to control both chambers.
The CFTC has also sued several states to defend what it views as exclusive jurisdiction over event contracts classified as swaps, following Democratic pressure on prediction markets. Selig said the agency is willing to pursue the matter to the Supreme Court if necessary.