CFTC Chair Michael Selig has indicated the agency may pursue independent regulatory measures for cryptocurrency markets if Congress delays passage of the CLARITY Act, a legislative effort to clarify oversight of digital assets. The legislation, currently stalled, requires 60 Senate votes for approval and faces uncertainty ahead of a cloture vote in September.
Selig stated during the inaugural meeting of the CFTC’s Innovation Advisory Committee that the agency would “move swiftly to propose new rules” if bipartisan support for CLARITY fails to materialise. The committee, chaired by Walt Lukken, is tasked with advising on crypto-related policies, including protections for developers and frameworks for leveraged trading.
The CLARITY Act, which aims to define the regulatory role of the CFTC and SEC in crypto markets, has drawn attention from President Donald Trump, who has publicly endorsed the legislation. His advocacy comes amid reports of $1.4 billion in crypto-related gains in 2025, though the exact nature of his investments remains unspecified.
Separately, the SEC has proposed rules that could exempt certain digital tokens from being classified as “investment contracts,” potentially easing compliance for issuers. However, the agency’s approach remains under scrutiny, with ongoing legal disputes over jurisdiction in prediction markets involving firms such as Kalshi and Polymarket.
The outcome of these regulatory developments hinges on Senate negotiations, with Majority Leader John Thune overseeing the cloture vote. Analysts note that the absence of clear legislative direction may prompt further action by the CFTC, even as the agency seeks to align with broader federal priorities.
Written by Steven Cook
Regulation Desk
