CFTC Advances Crypto Regulation Plan Amid Senate Bill Stalemate

The Commodity Futures Trading Commission (CFTC) has taken a significant step towards regulating the crypto market, submitting a rulemaking proposal to the White House for review. This move comes after the Senate failed to advance the Digital Asset Market CLARITY Act in a 49-50 cloture vote on September 15.

The CFTC's filing, titled 'Regulation Crypto Asset Transactions and Regulation Crypto Asset Markets', is currently at the 'prerule' stage. This means that the Office of Information and Regulatory Affairs (OIRA) has ten working days to review it, rather than the usual 90 days for a full proposed rule.

CFTC Chairman Michael Selig had previously stated that the agency would use its existing authority under the Commodity Exchange Act to build a crypto market regime if the CLARITY Act stalled. This is exactly what has happened, as the CFTC continues to move forward with regulating the crypto space using its existing powers.