CFTC Chair Selig Pushes for Federal Crypto Registration Pathway

The proposed registration model seeks to categorize exchanges based on their specific service offerings. While ordinary spot venues currently operate primarily under state-level money transmission laws, Selig’s plan targets platforms facilitating retail margin, leverage, or financed transactions. These entities would face more stringent requirements, including oversight of customer funds, token listings, and proof-of-reserves protocols.

This initiative relies on the agency’s existing authority under the Commodity Exchange Act, as comprehensive market-structure legislation remains stalled in Congress. The commission has opened a public consultation period, with a comment deadline set for December 14, 2026. Beyond standard trading, the agency is also scrutinizing software developers and prediction markets, the latter of which has already seen enforcement actions against individuals like former Representative George Santos for exploiting non-public information to influence trade outcomes.