CFTC Eases Regulation for Passive Software Providers

The Commodity Futures Trading Commission (CFTC) has issued a no-action position for passive software providers, making it easier for them to facilitate trading with regulated markets.

This decision is similar to one made in March and expands the relief to other providers. In March, Phantom Technologies, a developer of self-custodial cryptocurrency asset wallet software, received no-action relief from the CFTC after proposing to provision and market software to facilitate its users' trading with registered futures commission merchants.

Crypto industry leaders are welcoming this development as a major win for the industry. Brandon Millman, CEO and Co-Founder of Phantom, said that the CFTC's no-action position will help create a path for non-custodial software providers to connect people with regulated markets.