Michaela
The U.S. Securities and Exchange Commission’s (SEC) Division of Trading and Markets and the Commodity Futures Trading Commission’s (CFTC) Division of Market Oversight and Division of Clearing and Risk have launched a joint initiative to streamline and coordinate the regulatory process for listing and trading specific spot crypto products.
Key points:
- SEC and CFTC launch joint effort to clarify rules for spot crypto trading.
- Registered exchanges can list spot crypto products under current law.
- Regulators will review filings and ensure markets meet transparency and investor protection standards.
In an official statement, the SEC and CFTC said the joint effort builds on the SEC’s Project Crypto and the CFTC’s Crypto Sprint. The initiative also reflects recommendations from President Donald Trump’s Working Group on Digital Asset Markets, which urged both agencies to collaborate in order to position the U.S. as a global leader in blockchain innovation and cryptocurrency markets.
“Today, the Divisions provide their view that DCMs, FBOTs, and NSEs are not prohibited from facilitating the trading of certain spot crypto asset products,” the statement wrote. “Market participants are invited to engage with SEC staff or CFTC staff, as needed,” it added.
The statement emphasized that current law does not prevent exchanges registered with the SEC or CFTC from offering trading in certain spot crypto assets. Under the Commodity Exchange Act, most leveraged, margined, or financed “retail commodity transactions” must take place on a CFTC-registered designated contract market (DCM) or foreign board of trade (FBOT), unless an exception applies, such as transactions listed on an SEC-registered national securities exchange (NSE).
The agencies also confirmed that they will swiftly review filings and requests from DCMs, FBOTs, and NSEs aiming to offer trading in certain spot crypto assets. In their joint statement, the SEC and CFTC noted key factors for market participants to consider when operating markets or engaging in spot crypto trading.
Regulators stated they are prepared to evaluate exchange filings, respond to inquiries regarding custody and clearing, and ensure that new spot crypto markets uphold standards for transparency, oversight, and investor protection. Exchanges and market participants were encouraged to reach out to the SEC or CFTC with proposals or questions.
The joint initiative signals a broader shift toward regulatory clarity in the U.S. crypto market, offering exchanges and investors a clearer framework for participation while emphasizing the government’s intent to balance innovation with market integrity. This approach could encourage more traditional financial venues to explore crypto offerings, potentially expanding access and adoption in the coming months.
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Michaela has no crypto positions and does not hold any crypto assets. This article is provided for informational purposes only and should not be construed as financial advice. The Shib Magazine and The Shib Daily are the official media and publications of the Shiba Inu cryptocurrency project. Readers are encouraged to conduct their own research and consult with a qualified financial adviser before making any investment decisions.
