Michaela
Summary: How could the CFTC new guidance affect U.S. crypto trading?
The CFTC new guidance allows offshore exchanges to legally serve U.S. traders, increasing access to digital assets. More registered platforms could boost liquidity and trading volume. Overall, it provides traders with more options and greater confidence in participating in regulated markets.
The Commodity Futures Trading Commission’s (CFTC) Division of Market Oversight has released guidance on the Foreign Board of Trade (FBOT) registration process, clarifying how non-U.S. entities can legally offer U.S. residents direct access to their trading platforms.
The CFTC stated in an official release that its FBOT registration framework covers all types of markets, including both traditional financial assets and digital assets, ensuring a uniform approach across asset classes.
“By reaffirming the CFTC’s longstanding approach to provide U.S. traders with choice and access to the deepest and most liquid global markets, with a wide range of products and asset classes, American companies that were forced to set up shop in foreign jurisdictions to facilitate crypto asset trading now have a path back to U.S. markets,” Acting Chairman Caroline Pham stated.
Related: Dubai Purges Privacy, Stablecoins In Strict New Crypto Laws
The CFTC’s latest guidance reflects a continuation of a long-standing practice. Since the 1990s, U.S. investors have been able to trade on foreign exchanges registered with the CFTC under the FBOT framework. With this update, Americans seeking secure and compliant access to overseas markets are now explicitly welcomed, while U.S. markets are made more accessible to global participants.
The CFTC noted that the move aligns with its ongoing efforts to support the Trump administration’s agenda for strengthening American leadership in digital assets, as part of the Commission’s broader “crypto sprint” initiative.
Related: Excluding Bitcoin Now Poses Greater Portfolio Risk Than Volatility: VanEck
CFTC Move Could Expand SHIB Access
Allowing offshore exchanges to legally register and serve U.S. traders could have a notable impact on the Shiba Inu (SHIB) ecosystem. With more venues listing SHIB under full regulatory compliance, U.S. holders may gain easier access to trading, while liquidity could see a meaningful boost.
Increased market participation and trading volume may strengthen activity within the SHIB ecosystem, benefiting both retail and institutional participants. The broader objective of this initiative is to bring more crypto activity under U.S. oversight, improve market liquidity, and dismantle the “walled garden” effect that has limited American traders to a smaller set of platforms.
Ultimately, this could foster a more dynamic and robust market for SHIB, giving holders more options and greater confidence in participating within regulated U.S. channels.
Read More
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MICHAELA
Michaela is a news writer focused on cryptocurrency and blockchain topics. She prioritizes rigorous research and accuracy to uncover interesting angles and ensure engaging reporting. A lifelong book lover, she applies her passion for reading to deeply explore the constantly evolving crypto world.
