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The CFTC in the US announces an initiative for the listing of cryptocurrency trading contracts on exchanges.
Caroline Pham, Acting Chairman of the U.S. Commodity Futures Trading Commission (CFTC), announced on August 4 the initiation of an initiative to list trading contracts based on spot cryptocurrency on designated contract markets (DCM). The goal is to clarify regulations under existing commodity trading laws regarding leveraged and margin trading in cryptocurrencies by retail investors.
The initiative will be the first effort to begin implementing the recommendations from the digital asset market report of the Trump administration's working group. It is positioned as part of the "cryptocurrency sprint" announced by Acting Chair Pham last week.
The chairperson of the Fam Agency stated, "Under the strong leadership of President Trump, the CFTC will collaborate with SEC's Project Crypto to promote cryptocurrency trading at the federal level at full speed." It explains that under the current Commodity Exchange Act, retail trading of products using leverage and margin must be conducted on a DCM.
The CFTC is seeking feedback and proposals from all stakeholders regarding the listing of cryptocurrency spot contracts on DCM. Considerations will include the impact on the Commodity Exchange Act, CFTC regulations, and securities laws.
Public comments will be accepted until August 18, and the submitted comments are expected to be published on the CFTC official website. This initiative aims to realize solutions utilizing existing authority proposed by the current chairman since 2022.
The SEC also launched "Project Crypto" on July 31 to promote the modernization of securities regulations and the on-chain transition of the U.S. financial markets. The collaboration between the two agencies aims to accelerate the realization of the Trump administration's vision of making the U.S. the global capital of cryptocurrency.