Regulation Turns Bullish: US Positioned as Global Hub for Crypto, DeFi, Derivatives

U.S. crypto regulation is entering a decisive new chapter as federal leaders move to align oversight, clarify rules, and cement American dominance in digital asset markets through coordinated action across agencies and existing regulatory authority.

Crypto Takes Center Stage as U.S. Regulators Signal a New Era of Clarity

A new phase of U.S. financial regulation is taking shape as federal leaders outline plans to adapt oversight to emerging technologies. Commodity Futures Trading Commission (CFTC) Chairman Michael S. Selig shared his policy vision Jan. 29, detailing a coordinated approach to crypto markets, derivatives, and regulatory harmonization.

Selig, speaking during his first public remarks as chairman at a joint CFTC–U.S. Securities and Exchange Commission (SEC) event, outlined an agenda focused on regulatory clarity, inter-agency coordination, and permissionless innovation. He stated:

“With thoughtful engagement and a commitment to principled innovation, the U.S. is uniquely positioned to extend its preeminence into the crypto era.”

He further opined that recent policy shifts have reshaped the regulatory environment, adding, “And thanks to the leadership of President Trump, ‘Operation Chokepoint 2.0’ is history, regulation by enforcement is dead, the GENIUS Act is law, Congress is on the cusp of passing market structure legislation, and the U.S. is now the crypto capital of the world.” Selig framed these developments as creating space for agencies to act decisively using existing authorities while lawmakers finalize broader statutory reforms.

Read more: Regulatory Breakthrough: SEC-CFTC Coordination Marks Turning Point for US Crypto Markets

Later in the remarks, the CFTC chairman detailed specific regulatory actions aimed at crypto trading and market structure. He explained:

“First, I have directed CFTC staff to begin drafting rules clarifying when leveraged, margined, or financed retail commodity transactions in crypto may be offered off-exchange under an ‘actual delivery’ exception.”

He followed by noting, “Second, I have asked CFTC staff to begin drafting rules codifying requirements for DCMs [designated contract markets] that choose to offer these transactions on their current platforms.” Selig concluded this section by clarifying the agency’s longer-term approach, stating, “Finally, I have directed CFTC staff to explore the creation of a new category of DCM registration that is tailored specifically to retail leveraged, margined, or financed crypto asset trading.” He described these measures as part of a broader effort to harmonize oversight with the SEC, reduce duplicative compliance, and ensure that innovation in crypto assets, derivatives, and on-chain markets develops within the U.S. regulatory perimeter while maintaining market integrity and core protections.

FAQ ⏰

• What is the CFTC’s new approach to crypto regulation?

The agency plans to clarify rules for retail crypto trading while coordinating closely with the SEC.

• How will leveraged crypto trading be regulated?

The CFTC is drafting rules for off-exchange transactions and platforms offering leveraged crypto.

• What role does the GENIUS Act play in crypto oversight?

The law supports clearer regulatory authority as agencies act under existing powers.

• Why is the U.S. positioning itself as a crypto capital?

Federal leaders aim to align innovation, market integrity, and regulatory clarity domestically.