For retail leveraged trading in cryptocurrencies such as $BTC , the U.S. CFTC is preparing a dedicated set of federal rules and has just issued an advance notice seeking public comment.
Bitcoin was the first cryptocurrency. Its supply is capped, and many people hold it as digital gold.
The CFTC oversees futures and derivatives in the United States. This proposal targets retail customers using leverage, margin, or financing to trade cryptocurrencies, with the aim of formally bringing this activity under a unified set of nationwide market rules.
The notice outlines possible measures to prevent abuse and fraud, clarify compliance practices already followed by the industry, and create a new category of “digital asset market” dedicated to crypto trading under the existing designated contract markets framework.
Chairman Selig said the rules should focus on prevention, rather than waiting for something like FTX to happen before pursuing enforcement.
These are not formal rules yet; the public is being invited to submit comments. Comments may be submitted within 60 days after the notice is published in the Federal Register.
Bitcoin was the first cryptocurrency. Its supply is capped, and many people hold it as digital gold.
The CFTC oversees futures and derivatives in the United States. This proposal targets retail customers using leverage, margin, or financing to trade cryptocurrencies, with the aim of formally bringing this activity under a unified set of nationwide market rules.
The notice outlines possible measures to prevent abuse and fraud, clarify compliance practices already followed by the industry, and create a new category of “digital asset market” dedicated to crypto trading under the existing designated contract markets framework.
Chairman Selig said the rules should focus on prevention, rather than waiting for something like FTX to happen before pursuing enforcement.
These are not formal rules yet; the public is being invited to submit comments. Comments may be submitted within 60 days after the notice is published in the Federal Register.