CFTC Proposes Voluntary Federal Framework for Crypto Exchanges

According to Huoxing Finance, on October 19, Michael Passalacqua, Senior Advisor to CFTC Chair Mike Silber and Head of the Innovation Working Group, stated that following the setback of the Clarity Act, the CFTC is advancing the Reg CAM framework—"Crypto Asset Markets"—to provide voluntary participation for crypto asset trading platforms under a nationally unified regulatory regime led by the CFTC. This arrangement primarily targets platforms offering leveraged, margin, or financed trading to retail customers, enabling them to move away from the fragmented state-by-state money transmitter licensing landscape; purely spot, non-leveraged trading generally remains outside this mandatory framework. Passalacqua noted that the goal is to offer a federal pathway as an option, but it remains uncertain whether the industry views this as an attractive compliance approach. The rulemaking process is currently in the public comment phase.