CFTC Chairman Vows Crypto Regulation Under Existing Authority After CLARITY Act Fails in Senate

iconCryptofrontnews
Share
This is the logo of the coin.
BTC
$78,084.801.78%
This is the logo of the coin.
ETH
$2,504.872.11%
AI summary iconSummary
CFTC Chairman Mike Selig said the agency will push forward with crypto regulation under current authority after the CLARITY Act failed in the Senate. The 49-50 vote left the bill short of the 60 needed to move forward. Selig stressed the need for clear rules and consumer safeguards. SEC Chairman Paul Atkin also pledged action within existing powers. With MiCA advancing in the EU, U.S. regulators face growing pressure to act. CFT concerns remain a key focus in global oversight efforts.
  • Mike Selig says the CFTC will pursue crypto rules under its existing statutory authority.
  • The Senate voted 49-50 against advancing the CLARITY Act, leaving federal crypto rules unresolved.
  • SEC and CFTC officials signal continued rulemaking after the CLARITY Act failed to advance.

CFTC Chairman Michael Selig said the agency will pursue crypto rules under existing authority after Tuesday’s Senate vote. The Senate voted 49-50 against advancing the CLARITY Act during Tuesday’s session on crypto regulation in Washington, D.C. Selig said Americans now deserve regulatory clarity, legal certainty and consumer protections across crypto markets.

Selig Pledges Action Under Existing Authority

Selig said the Senate vote was unfortunate Wednesday. The CFTC remains ready to issue rules for the “new frontier.” Selig said President Trump promised a future-proof crypto asset regulatory market structure.

The agency would pursue that goal using its existing statutory authorities. The statement came hours after the CLARITY Act failed to advance in the Senate. The bill needed 60 votes but received 49 votes against advancement.

Senate Vote Leaves Legislation Unresolved

The CLARITY Act sought federal rules for digital assets and definitions for commodities and securities. The bill could also have expanded CFTC jurisdiction over spot markets for digital commodities. However, Democrats raised concerns about Trump’s crypto interests and ethics provisions.

Republicans rejected a Democratic counteroffer, while Sen. Thom Tillis said the bill could still advance. One Republican Senate aide said the bill was dead. Bernstein analysts expected swift rulemaking from the SEC and CFTC. JPMorgan analysts also expected agency action.

SEC And CFTC Turn To Rulemaking

SEC Chairman Paul Atkin also said the SEC would act within its statutory authority, with or without legislation. He said the agency would seek certainty for investors and entrepreneurs.

Meanwhile, the CFTC’s existing framework rests on anti-fraud and anti-manipulation powers over digital commodity markets. The commission has used those powers in crypto enforcement actions.

Selig did not provide a specific timeline for the new framework. Proposed rules would typically face public comment before finalization, through CFTC meetings and the Federal Register. Coinbase CEO Brian Armstrong said, “The CFTC and SEC are stepping up. Go time.”

Source:Show original
Disclaimer: The information on this page may have been obtained from third parties and does not necessarily reflect the views or opinions of KuCoin. This content is provided for general informational purposes only, without any representation or warranty of any kind, nor shall it be construed as financial or investment advice. KuCoin shall not be liable for any errors or omissions, or for any outcomes resulting from the use of this information. Investments in digital assets can be risky. Please carefully evaluate the risks of a product and your risk tolerance based on your own financial circumstances. For more information, please refer to our Terms of Use and Risk Disclosure.