CFTC launches rulemaking to bring retail crypto trading onto regulated exchanges
The CFTC has issued an advanced notice of proposed rulemaking on section 2(c)(2)(D) of the Commodity Exchange Act, signaling intent to write fit-for-purpose rules for crypto asset transactions and markets. Compliance and legal teams at exchanges, intermediaries and crypto trading venues should read this to understand the direction of a framework that could require retail crypto transactions to move onto designated contract markets.
- Comments on the ANPRM, filed under RIN 3038-AF80, must be received by the CFTC on or before December 14, 2026.
- The notice proposes two new frameworks: Regulation Crypto Asset Transactions (Regulation CTX) and Regulation Crypto Asset Markets (Regulation CAM).
- The Commission states the President's Working Group on Digital Asset Markets directed it to use existing rulemaking and exemptive authorities to enable crypto asset trading.
- The notice states that in June 2016 the Commission charged BFXNA Inc. (Bitfinex) with violations of the on-exchange requirement, the first application of section 2(c)(2)(D) to a crypto exchange.
- The Commission states that CME and Cboe self-certified cash-settled bitcoin futures in December 2017, the first regulated U.S. bitcoin derivatives products.