The US Commodity Futures Trading Commission (CFTC) is making moves to allow trading of “spot crypto asset contracts” on registered futures exchanges in the country. This initiative, part of the agency’s “crypto sprint,” aims to implement recommendations from the Working Group on Digital Asset Markets appointed by former President Donald Trump.
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The Working Group’s report, released recently, advised the CFTC to provide more clarity on how cryptocurrencies are classified as commodities, the registration requirements for decentralized finance market participants, and how regulated entities can participate in the crypto space.
Acting Chair of the CFTC, Caroline Pham, stated, “The CFTC is moving full speed ahead on enabling immediate trading of digital assets at the Federal level, in coordination with the SEC’s Project Crypto.” She emphasized the need for regulatory clarity on listing spot crypto asset contracts on a Designated Contract Market (DCM).
Interested stakeholders are invited to provide feedback on the proposal, particularly in areas such as regulations for retail commodity transactions involving leverage, margin, or financing on DCMs, registration and compliance requirements for DCMs, and enforcement provisions.
While Caroline Pham is currently leading the crypto drive at the CFTC, President Trump’s permanent appointee for CFTC Chair, Brian Quintenz, is set to take over. Quintenz, who has strong ties to the crypto industry, will bring his expertise as the Global Head of Crypto Policy at a16z, the crypto arm of venture capital firm Andreessen Horowitz.
In a related development, the Philippines Securities and Exchange Commission (SEC) has cracked down on unregistered crypto exchanges, including OKX, Bybit, KuCoin, and Kraken. These exchanges were flagged for offering crypto services without authorization, with the SEC warning of enforcement actions and potential bans from app stores.
The CFTC’s move to allow spot crypto trading on registered exchanges and the Philippines SEC’s crackdown on unregistered exchanges highlight the evolving regulatory landscape surrounding cryptocurrencies. As governments and regulatory bodies worldwide grapple with the challenges posed by digital assets, stakeholders in the crypto space must navigate changing regulations and compliance requirements.
#CFTC #CryptoRegulation #DigitalAssets #PhilippinesSEC #CryptocurrencyRegulation #NexSouk #AIForGood #EthicalAI
References:
– https://cointelegraph.com/news/cftc-spot-crypto-contracts-trading-initiative?utm_source=rss_feed&utm_medium=rss&utm_campaign=rss_partner_inbound
– https://www.financemagnates.com/cryptocurrency/cftc-wants-to-allow-spot-crypto-asset-contracts-trading-on-registered-exchanges/
– https://cointelegraph.com/news/philippines-sec-warns-okx-bybit-kucoin-kraken-unregistered?utm_source=rss_feed&utm_medium=rss&utm_campaign=rss_partner_inbound
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