The new federal framework was proposed by the US Commodity Futures Trading Commission for crypto exchanges that offer leveraged trading to retail customers. The move could give US crypto platforms a clearer route to federal oversight at a time when the country still lacks a broad crypto market law.
CFTC Chairman Michael S. Selig announced the proposals on October 5 during remarks at the Fordham Law Blockchain Regulatory Symposium in New York. The agency is seeking public input on proposals covering Regulation Crypto Asset Transactions (CTX) and Regulation Crypto Asset Markets (CAM).
New Federal Path for Leveraged Trading
The framework would be a federal option for crypto exchanges. Platforms would not automatically be forced into the CFTC system. They could continue operating under state licenses if their business model allows it. Exchanges offering certain types of leveraged crypto trading, however, already fall under CFTC registration requirements under existing law.
