CFTC Prepares Backup Crypto Rules Amid Stalled Legislation

CFTC Chairman Michael Selig has directed his staff to prepare a backup regulatory framework for cryptocurrency markets in case Congress fails to advance the stalled Clarity Act.

The legislation, which would place spot trading of digital commodities under CFTC oversight, has been bogged down by negotiations over government ethics restrictions and other policy disputes.

Selig emphasized that legislation remains his preferred route for regulating cryptocurrency markets, but he made clear that the agency is preparing to use its existing authorities if Congress stalls again.