Congress is still debating the United States’ crypto rulebook. The Commodity Futures Trading Commission has started sketching a backup. On August 20, CFTC Chairman Michael S. Selig said he ha
Congress is still debating the United States’ crypto rulebook. The Commodity Futures Trading Commission has started sketching a backup.
On August 20, CFTC Chairman Michael S. Selig said he had directed agency staff to explore rules that could establish a federal market structure for crypto assets using the regulator’s existing authority. The work is intended as a contingency if Congress fails to pass the Digital Asset Market CLARITY Act.
Selig made the announcement during the inaugural meeting of the CFTC’s Innovation Advisory Committee. He emphasized that legislation remains the preferred route and said the agency would give Congress time to vote before moving ahead with its alternative.
According to Selig, the agency could consider creating a new designation called a “crypto asset market,” modeled on the CFTC’s existing designated contract market, or DCM, framework.
The potential structure could:
These are areas staff have been instructed to explore. They are not final rules, approved policies or operating licenses.
Until now, the broad assumption has been that Congress must establish a durable national framework dividing authority over crypto markets between the CFTC and the Securities and Exchange Commission.
Selig’s remarks show that the CFTC is no longer preparing to wait indefinitely. If the CLARITY Act remains stalled, the agency may attempt to build part of that framework administratively.
That could give exchanges and onchain developers a clearer federal route sooner. But an agency-built regime would probably be narrower and less durable than legislation. Rules based on existing statutory authority could face court challenges, changes under a future administration or disputes over how much of the ordinary spot market the CFTC can legally supervise.
No crypto market-structure rule has been formally proposed. The Commission has not voted, no exchange has received the proposed designation and no implementation date exists.
Selig also stated that his remarks represented his own views as chairman and did not necessarily reflect the position of the full Commission.
The next signal to watch is whether Congress advances the CLARITY Act. If it does not, the important development will be the publication of an actual CFTC proposal, including its legal basis, eligibility requirements and treatment of spot versus leveraged trading.
Confirmed: CFTC staff have been directed to explore a regulatory Plan B.
Not confirmed: that the rules will be proposed, adopted or survive a legal challenge.
The blockchain has spoken. Washington is preparing a contingency plan.
CFTC — Remarks at Innovation Advisory Committee Conference: https://www.cftc.gov/PressRoom/SpeechesTestimony/opaselig10
CoinDesk — U.S. CFTC chief puts staff on notice to create crypto regulations if CLARITY Act fails: https://www.coindesk.com/policy/2026/08/20/u-s-cftc-chief-puts-staff-on-notice-to-create-crypto-regulations-if-clarity-act-fails
This article is for informational purposes only and does not constitute financial, investment or legal advice.
