Commodity Futures Trading Commission Chair Michael Selig said in a CNBC interview that under the agency’s proposed rules, only federally regulated cryptocurrency trading platforms would be allowed to offer leveraged trading in the United States. He added that state-level licenses would cover money transmission services only, not leveraged crypto products. Selig also said 100x leverage, commonly seen on offshore platforms, has never been permitted in the U.S. and would not be allowed under the new proposal either. The comments came after the CFTC on Monday proposed two new rules that would use its authority over leveraged and margin trading to build a U.S. regulatory framework for crypto. The move is aimed at addressing regulatory uncertainty left unresolved after Congress failed to pass crypto legislation.
Commodity Futures Trading Commission Chair Michael Selig said in an interview with CNBC that under the agency’s proposed rules, only federally regulated cryptocurrency trading platforms would be permitted to offer leveraged trading.
Selig said, 「States can only provide money transmission services. The 100x leverage commonly seen outside the United States has never been allowed in the U.S., and this time will be no exception.」
Earlier reports said the CFTC on Monday proposed two new rules to establish a U.S. regulatory framework for cryptocurrency, using its authority to regulate leveraged and margin trading. The proposal is intended to address the regulatory uncertainty left after Congress failed to complete crypto legislation.
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