Newly appointed Commodity Futures Trading Commission (CFTC) Chair Michael Selig has made a strong case for the passage of the crypto market structure bill, known as the CLARITY Act, arguing it could position the United States as the global "gold standard" for digital asset regulation. In an interview with FOX Business, Selig stated that the U.S. has suffered from years of regulatory ambiguity, forcing innovation and capital offshore.
The proposed legislation is designed to introduce long-needed clarity by defining a "token taxonomy" and outlining which regulators have authority over different parts of the crypto market. Selig explained that for the first time, developers and investors may soon have a framework that clearly defines what qualifies as a security versus a commodity, and how digital assets should be treated under U.S. law. He challenged the current approach of treating nearly all digital assets as securities, calling it outdated, and argued many cryptocurrencies function more like commodities and should fall under the CFTC's jurisdiction rather than being regulated exclusively by the Securities and Exchange Commission (SEC).
Selig expressed optimism about the bill's timeline, suggesting it could reach President Donald Trump's desk within the next couple of months. He praised the president's vocal support of the crypto sector, indicating that executive backing could help push the legislation across the finish line.
Meanwhile, activity is intensifying on Capitol Hill. Crypto journalist Eleanor Terrett reported that Senate Democrats are planning to reconvene for a closed-door meeting on crypto market structure this week. This would mark the first member-level Democratic caucus discussion on the issue since the Senate Banking Committee postponed its markup last month following industry pushback. Notably, crypto exchange Coinbase withdrew its support over provisions related to tokenized equities, DeFi, and stablecoin rewards, which stalled the bill in the Senate Banking Committee. However, the Senate Agriculture Committee's version of the bill passed during a vote last week.
The legislation aims to strengthen investor protections, improve compliance standards for crypto platforms, and provide clearer oversight for crypto commodities, with the CFTC expected to take a more prominent role in overseeing spot markets.
