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The CFTC is asking for public input on allowing U.S. futures exchanges to list spot crypto assets.
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Acting Chair Caroline Pham says the agency can do this under existing legal authority.
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The plan may clash with SEC rules and faces questions over asset classification.
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Feedback is open until August 18.
CFTC Pushes Ahead Without New Laws
The Commodity Futures Trading Commission (CFTC) wants to open the door for U.S.-regulated futures exchanges to host spot crypto trading. Acting Chair Caroline Pham said this can be done using existing powers under the Commodity Exchange Act, avoiding the need for new legislation.
The idea is to let Designated Contract Markets (DCMs), such as CME Group and ICE Futures, list crypto spot contracts. These venues already follow strict rules on integrity and customer protection, and the CFTC believes those same standards can be applied to crypto.
Timeline and Regulatory Vision
The CFTC aims to bring these changes within 12 to 18 months. Pham opposes adding complex frameworks like the EU's MiCA, instead preferring to use current U.S. rules to bring crypto into regulated markets efficiently.
The proposal invites public comment until August 18. Topics up for discussion include how to structure the contracts, what safeguards are needed, and how to handle overlap with securities laws.
SEC Overlap and Legal Concerns
Legal experts are raising concerns about the potential conflict between the CFTC and SEC. Andrew Rossow, a public affairs attorney, said crypto assets often have features of both commodities and securities. This creates a risk that companies might follow CFTC rules only to face SEC enforcement later.
One major issue is that tokens can evolve. What starts as a commodity-like token could later gain governance or staking features that resemble securities, causing classification problems.
