CFTC and SEC Take Action on Crypto Regulation Amidst Congressional Gridlock

The US Commodity Futures Trading Commission (CFTC) has announced a meeting of its Innovation Advisory Committee to discuss cryptocurrency regulation, amidst Congress's failure to advance the Digital Asset Market Clarity (CLARITY) Act.

The CFTC committee will meet on August 20 to address issues related to crypto assets, AI, and prediction markets. The agenda includes discussion of areas where regulatory action can complement future congressional legislation. This suggests that the agency is looking for ways to regulate cryptocurrencies without waiting for a clear framework from Congress.

The CFTC's announcement follows a similar notice by the US Securities and Exchange Commission (SEC), which plans to discuss new rules for certain investment contracts involving crypto assets on Friday. The SEC spokesperson emphasized their support for Congress's effort to pass a market structure bill, but until then, they will work within their authority to advance crypto regulation.

The CFTC is currently led by Michael Selig as the only Senate-confirmed commissioner and chair, with no indication that US President Donald Trump intends to announce additional nominations to fill leadership positions. This has lawmakers calling for action from the president to ensure a full panel of bipartisan commissioners at the agency.