Crypto Regulation News
Commodity Futures Trading Commission Chairman Michael Selig stated that US regulators must ready financial markets for what he described as “mass tokenization.” He outlined these views while addressing how the CFTC intends to adapt its regulatory framework to emerging technologies, including blockchain and artificial intelligence.
Selig made these remarks on September 22 during a keynote address at the US Treasury Market Conference, held at the Federal Reserve Bank of New York. “With trends like tokenization, on-chain finance, and 24/7 trading, the coming decade is likely to reshape financial markets more profoundly than the last several decades combined,” he said in his prepared speech.
Selig expressed confidence that the United States will maintain its global leadership in these evolving markets, crediting the Trump administration’s approach to digital assets for fostering continued progress.
“Throughout this Trump Administration, we’ve built a foundation for continued leadership by embracing innovation, encouraging competition, calibrating regulation appropriately, and preserving the trust that has made American markets the gold standard worldwide,” he added.
Over the past year, the CFTC has released guidance on tokenization-related matters and solicited public feedback on extending round-the-clock trading to energy derivatives markets. Selig cited these efforts as evidence of the agency’s increasing focus on continuously operating financial markets.
The agency has already moved to broaden its support for tokenization. In February, the CFTC expanded its eligible collateral roster to include stablecoins issued by national trust banks.
Selig noted that the CFTC will continue exploring ways to facilitate stablecoin adoption among regulated participants, including market firms, exchanges, and clearinghouses.
Selig’s comments coincided with other regulatory developments in the digital asset space. The Securities and Exchange Commission, the CFTC’s sister agency, unveiled its long-anticipated “innovation exemption” rule last week. This regulatory change is designed to permit on-chain trading of tokenized equities.
Both agencies are advancing these initiatives independently. A comprehensive legislative bill aimed at regulating the broader crypto industry has stalled in the Senate, compelling individual agencies to act within the scope of their existing authority.
