Washington is changing the conversation around the $3.6 trillion digital assets industry.
A bipartisan Senate proposal unveiled Monday aims to shift the balance of US crypto regulation, transferring oversight power from the Securities and Exchange Commission to the Commodity Futures Trading Commission.
The draft bill, introduced by Senate Agriculture Committee Chair John Boozman and Senator Cory Booker, would give the CFTC power to define and supervise digital commodities, establish a registration system for crypto trading venues, enforce new disclosure rules, and impose fees on certain transactions.
“The CFTC is the right agency to regulate spot digital commodity trading,” Boozman said. “It’s essential to establish clear rules for the emerging crypto market while also protecting consumers.”
Washington’s pivot
The proposal comes at a time of massive transition for how crypto is treated by the US government.
In September, SEC Chair Paul Atkins declared that “crypto’s time has come,” pledged to end years of enforcement-first oversight during President Joe Biden’s administration, and launched a deregulatory blitz known as Project Crypto.
“For too long, the SEC has weaponised its investigatory, subpoena, and enforcement authorities to subvert the crypto industry,” Atkins said.
US Treasury Secretary Scott Bessent has also been an ardent supporter of crypto. On November 10, he announced on X that his agency “issued new guidance giving crypto exchange-traded products a clear path to stake digital assets.”
CFTC poised for biggest expansion in decades
CFTC leadership has long been championed by the crypto industry and is now embraced by the Trump administration.
“I am really excited to talk about what we’ve been doing on making America the crypto capital of the world,” Caroline Pham, acting CFTC chair, said during a London event last week attended by DL News.
Pham said the CFTC’s approach is to “bring offshore crypto activity back onshore,” using new recognition pathways for foreign exchanges and a push for cross-border harmonisation.
“We’re focused on mitigating market fragmentation,” she said, adding that clearing houses may soon be authorised to use stablecoins as collateral.
She also described a comprehensive plan to enable listed spot crypto trading on futures exchanges by year-end, followed by guidance on tokenised collateral and stablecoins in early 2026.
The CFTC has been operating with only one commissioner after a wave of resignations, leaving Pham as the sole acting chair. The Boozman-Booker draft requires that the agency be “appropriately staffed” and ensures bipartisan representation.
Incoming nominee Mike Selig, a former SEC counsel and long-time crypto advocate, is expected to take the helm once confirmed, DL News reported in October.
“I pledge to work tirelessly to facilitate well-functioning commodity markets, promote freedom, competition and innovation, and help the President make the United States the crypto capital of the world,” Selig said in a statement.
