Regulatory Overhaul Begins with Future Proof Initiative
U.S. Commodity Futures Trading Commission (CFTC) Chair Michael Selig has launched the Future Proof initiative, aimed at overhauling the current regulatory framework for digital assets. Selig emphasized that the rapid evolution of digital finance requires a modernized approach to oversight that better aligns with today’s market realities.
Outdated Rules No Longer Fit the Digital Era
Rules originally designed for agricultural commodity futures and other legacy financial instruments are no longer suitable for today’s digital asset markets, Selig explained. He noted that as private enterprises modernize financial systems using emerging technologies, the CFTC must also evolve its strategies to support innovation while maintaining market integrity.
Clarifying Oversight and Advocating for Legislative Reform
Selig stated that if Congress passes digital asset market structure legislation, the CFTC would assume expanded responsibilities in regulating this sector. He advocated for tailored regulatory frameworks that would enable domestic digital markets to thrive, preserving the U.S. as a global financial leader. Legislative debates around expanding the CFTC’s jurisdiction over digital assets are currently underway.