The Commodity Futures Trading Commission (CFTC) has submitted a prerule titled Regulation Crypto Asset Transactions and Regulation Crypto Asset Markets to the White House Office of Information and Regulatory Affairs (OIRA). This submission represents an initial procedural step in the federal rulemaking process, and the specific text of the proposal has not yet been made public.
This regulatory action follows the failure of the Clarity Act to secure the 60 votes required during a Senate cloture vote. The proposed legislation aimed to establish a federal framework for digital assets and divide oversight responsibilities between the CFTC and the Securities and Exchange Commission (SEC). Senator Cynthia Lummis indicated that the bill faces significant challenges for the remainder of the year.
The CFTC intends to develop a framework for crypto derivatives independently, rather than waiting for congressional action. Simultaneously, the SEC has introduced an innovation exemption that permits qualifying venues to trade tokenized U.S. stocks on blockchain networks without registering as national exchanges. The CFTC also recently granted no-action relief to software providers, including crypto wallet apps.
These regulatory developments serve as a temporary bridge while federal legislation remains stalled. Treasury Secretary Scott Bessent previously identified agency rulemaking as a primary alternative if the Clarity Act failed to advance. For now, these agency-led initiatives provide the most immediate regulatory timeline for the U.S. cryptocurrency market.
