The U.S. Commodity Futures Trading Commission (CFTC) is preparing its first formal rules for crypto markets, and Chairman Mike Selig has named six major digital assets as examples of digital commodities. Speaking at the Fordham Law Blockchain Regulatory Symposium in New York, Selig cited Bitcoin (BTC), Ethereum (ETH), Solana (SOL), Stellar (XLM), Tezos (XTZ), and XRP.
Selig said the CFTC and SEC are developing a joint taxonomy that divides crypto assets into digital commodities, digital collectibles, digital tools, stablecoins, and digital securities. He said the first three categories generally are not securities. The proposed framework aims to avoid assigning one rule set to the entire crypto market.
Under proposed Regulation CTX and Regulation CAM, the CFTC would cover retail crypto transactions involving margin, leverage, or financing. Selig described a three-rung framework: Rung 1 for ordinary spot exchanges, Rung 2 for leveraged crypto trading, and Rung 3 for perpetuals and other derivatives. Exchanges offering only CTXs could seek registration as crypto asset markets, while designated contract markets could also offer CTXs under tailored rules.
The rules would require futures commission merchant intermediation for covered retail transactions, including disclosures, capital standards, asset segregation and anti-money laundering obligations. The CFTC also proposed proof-of-reserves requirements for certain exchanges holding customer property. Selig said moving assets to an external, non-custodial wallet within 28 days would generally satisfy an actual delivery exception.
For builders, Selig said developers who only publish software and do not solicit orders, control execution, or hold customer assets should not need broker registration simply for publishing code. The CFTC is engaging with builders to examine onchain venues and where control exists. The proposals follow Congress's failure to send the Clarity Act to President Trump.
