U.S. Commodity Futures Trading Commission Chair Mike Selig said the agency will continue developing crypto market structure rules after the Senate rejected the Clarity Act, adding that it is time to act. According to Odaily, Selig said the CFTC’s existing statutory authority gives it room to move forward without waiting for Congress to pass new legislation.

He said the agency will also reassess current rules for algorithmic and smart-agent-driven onchain markets that operate around the clock. The possible measures could include creating a designated contract market category that would allow exchanges to offer crypto leverage trading under CFTC oversight. Selig said the CFTC would not have authority under this framework to regulate spot markets, which would still require legislation.