Michaela
Acting Chairman of the Commodity Futures Trading Commission (CFTC) Caroline Pham has announced that spot cryptocurrency products will now be allowed to trade on federally regulated U.S. futures exchanges for the first time.
Key Points
- Spot crypto can now trade on federally regulated U.S. futures exchanges.
- Move strengthens U.S. position in global cryptocurrency markets.
- Protects retail investors by providing safe, regulated domestic options.
The CFTC said the move represents a major step in the Trump Administration’s push to position the U.S. as a global leader in cryptocurrency. In a statement, Pham noted the agency’s history of fostering responsible innovation on futures exchanges while maintaining safeguards for both retail and institutional traders. She also credited President Donald Trump’s leadership in shaping a coordinated government strategy to strengthen America’s role in digital asset markets.
“Recent events on offshore exchanges have shown us how essential it is for Americans to have more choice and access to safe, regulated U.S. markets,” Pham stated. “Now, for the first time ever, spot crypto can trade on CFTC-registered exchanges that have been the gold standard for nearly a hundred years, with the customer protections and market integrity that Americans deserve,” she added.
Furthermore, Pham referenced Congress’s actions fifteen years ago, noting reforms enacted to strengthen U.S. markets following the financial crisis, including the mandate that leveraged retail commodity trading be conducted exclusively on regulated futures exchanges.
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Despite these reforms, the CFTC had not provided clear guidance on listing retail exchange-traded products, leaving a key customer protection measure unimplemented amid growing market demand.
“Instead, the CFTC chose regulation by enforcement rather than making clear rules of the road, resulting in huge fines that targeted the crypto industry but did not protect the retail public by giving them a safe place to trade,” Pham stated.
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The CFTC’s decision is designed to ensure American investors have access to secure domestic markets rather than relying on offshore exchanges that may lack fundamental safeguards.
The CFTC’s approval of spot crypto trading follows recommendations from the President’s Working Group on Digital Asset Markets and insights gathered through the agency’s Crypto Sprint initiative, as well as coordination with the U.S. Securities and Exchange Commission (SEC). The Crypto Sprint also launched public consultations on additional proposals from the Working Group report, including enabling tokenized collateral like stablecoins in derivatives markets and updating CFTC rules on collateral, margin, clearing, settlement, reporting, and recordkeeping to support blockchain-based market infrastructure.
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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.
