CFTC Weighs Standalone Crypto Rules as Congress Stalls on Legislation

The Commodity Futures Trading Commission is considering whether to pursue cryptocurrency regulation on its own without waiting for Congress to pass legislation. The step follows a similar move by the Securities and Exchange Commission.

Cointelegraph reported on Aug. 13 that the CFTC will hold a meeting of its Innovation Advisory Committee on Aug. 20 to discuss regulatory direction for digital assets, artificial intelligence and prediction markets. One of the main agenda items is expected to be regulatory steps that could complement congressional legislation.

The move comes after the U.S. Senate failed last week to advance the Digital Asset Market Clarity Act, or CLARITY Act, before starting its August recess. The SEC said the same day that it would also hold a meeting to discuss new rules for a tailored offering framework for certain investment contracts related to crypto assets. An SEC spokesperson said the agency supports congressional efforts to pass market-structure legislation, but will pursue crypto regulation within its authority until a law is enacted.

Staffing gaps at the CFTC could also affect the effort. Mike Selig, the agency's chairman, is currently the only Senate-confirmed CFTC commissioner, and there has been no sign that President Donald Trump plans to nominate candidates for the remaining seats. With the five-member bipartisan commission still incomplete, multiple lawmakers are urging the president to move quickly on nominations.