cftc

The U.S. Commodity Futures Trading Commission (CFTC) reported that for the week ending September 29, stock fund speculators increased their net short positions in the S&P 500 CME by 575 contracts, bringing the total to 355,697 contracts; stock fund managers reduced their net long positions in the S&P 500 CME by 33,658 contracts, bringing the total to 901,255 contracts.

According to CoinDesk, the U.S. Commodity Futures Trading Commission (CFTC) has submitted two rules for review to the Office of Management and Budget (OMB). One rule aims to include event contracts within the regulatory definition of swaps, while the other is a "temporary final rule" that seeks to exclude "casino-style gambling products" from the scope of swaps.These two rules were received by the OMB this week, with the document dated September 28. OMB review is typically the last step before rules are submitted for public comment, and the temporary final rule will take effect immediately while allowing for subsequent public input and revisions.This move comes as the CFTC engages in a tug-of-war with multiple states over the nature of prediction markets. Event contracts are typically binary yes-or-no bets on measurable outcomes such as sports events and elections. Last week, the U.S. Sixth Circuit Court of Appeals ruled that Kalshi's sports contracts do not fall under swaps and should be governed by state gambling regulations, while the Eighth Circuit Court of Appeals made a similar ruling; however, the Third Circuit Court of Appeals previously determined that the CFTC has jurisdiction over prediction markets, creating a legal divergence at the federal level. CFTC Chairman Mike Selig believes that the CFTC has exclusive jurisdiction over prediction markets.If event contracts are classified as swaps and not as gambling products, it could weaken the positions of various states in multiple lawsuits against prediction market platforms like Kalshi. The CFTC is legally required to consist of five commissioners, but President Trump has yet to nominate additional commissioners, leaving Selig as the sole commissioner, who is unilaterally advancing regulatory and policy decisions. Additionally, information disclosed by the OMB indicates that the CFTC recently submitted a "pre-rule" focusing on cryptocurrency regulation to the White House.

According to Politico, citing three informed sources, the U.S. Commodity Futures Trading Commission (CFTC) is investigating former Illinois Republican Congressman Adam Kinzinger, related to his trading on the prediction market platform Kalshi. The relevant trades occurred between December 2024 and January 2025, completed through a Kalshi account associated with Kinzinger. He confirmed to the media that he had placed bets on contracts regarding whether he would receive a presidential pardon, while also betting on another contract about whether Biden would issue preemptive pardons before leaving office.In the final moments before Biden left office in January 2025, he issued preemptive pardons to Kinzinger and other members of the House Select Committee investigating the Capitol riot. Screenshots provided by Kinzinger show that he made a profit of $823 from approximately 25 trades, most of which were losses. He denied any wrongdoing, stating that he had been out of office for two years at the time of the bets, was neither a congressman nor a candidate, and had "no insider information." He also stated that he had read Kalshi's rules in advance and understood that they prohibit users from trading contracts directly related to their own interests. Kalshi prohibits users from betting on contracts in which they are direct participants, and the CFTC also prohibits the use of significant non-public information in its regulated markets.Kalshi had previously handled similar cases, suspending three congressional candidates in April for betting on their own campaigns, and freezing former Congressman George Santos's account, which was referred to the CFTC and the Department of Justice, leading to a lifetime ban at the end of August.

According to The Block, Coinbase Clearing LLC has been approved by the U.S. CFTC to register as a Derivatives Clearing Organization (DCO), achieving a self-contained closed loop for brokerage, listing, and clearing.This approval only covers fully collateralized futures, options, and swap products, while leveraged derivatives still rely on third-party clearing. The company's legal director stated that the new clearing uses USDC as collateral and supports 24-hour settlement.

According to Cointelegraph, former commissioner of the U.S. Commodity Futures Trading Commission (CFTC) Brian Quintenz stated at the Korea Blockchain Week 2026 that the Clarity Act is not the only way to achieve regulatory certainty for cryptocurrencies. The U.S. Securities and Exchange Commission (SEC) and CFTC can use their exemptions to fill this regulatory gap.

According to The Block, the prediction market platform Kalshi will terminate its trading volume incentive program, effective no earlier than October 13. This information comes from documents submitted by Kalshi to the Commodity Futures Trading Commission (CFTC).The program pays rewards to traders from a reward pool based on their share of qualified trading volume, aimed at enhancing liquidity. Kalshi is an event contract trading platform regulated by the CFTC.

The Commodity Futures Trading Commission (CFTC) is investigating prediction markets, focusing on the compliance of their incentive programs and expressing concerns about misleading promotional practices present in the market.

During an interview with The Block at the Ondo event held in Seoul, South Korea, Ondo Perps CEO David Wells stated that offering perpetual contracts in the United States is a "huge opportunity," and that it is "reasonable" for Ondo to explore such expansion. He mentioned that everyone is paying attention to the U.S. because there are now more opportunities opening up that were previously impossible. However, he also noted that U.S. perpetual contract products will differ from existing products, with structures that vary from non-U.S. markets.Wells' remarks come as U.S. regulators are testing how perpetual contracts can enter the U.S. market with several companies. In August, Trump stated that the CFTC is "bringing Hyperliquid to the U.S. in a fully compliant and legal manner." Kraken's parent company, Payward, has announced plans to launch Hyperliquid's HIP-3 perpetual market for eligible U.S. customers through the CFTC-regulated Bitnomial Exchange and NinjaTrader Clearing. Coinbase has also applied to launch single-stock perpetual contracts in the U.S. Earlier this month, Ondo Finance submitted a letter to the SEC and CFTC arguing that U.S. stock perpetual contracts fall under the securities futures category as defined by the Commodity Futures Modernization Act of 2000.Wells indicated that while the U.S. version of perpetual contracts and its market structure may be similar, settlement and clearing would need to change to comply with U.S. regulations. He did not confirm any plans to enter the U.S. market, stating that the team has not "gone too far" in exploring the U.S. market.

According to Crypto in America, former CFTC Chairman Russ Behnam stated at the Georgetown University Financial Markets Quality Conference that as prediction markets experience explosive growth, Congress urgently needs to clarify the boundary between risk management and gambling, and related lawsuits may ultimately be submitted to the U.S. Supreme Court.Behnam also pointed out that after the Clarity Act failed to advance in the Senate, the CFTC's reliance on existing authority to regulate the spot market is akin to "patching things up with tape and paperclips," and regulators urgently need to establish more durable rules.

The cryptocurrency trading platform Coinbase's subsidiary Coinbase Markets announced that the U.S. Commodity Futures Trading Commission (CFTC) has approved the launch of Coinbase Clearing LLC, which is Coinbase's own clearinghouse with USDC as its native collateral asset.Coinbase Markets stated that Coinbase Clearing is designed for round-the-clock settlement and supports USDC as collateral. The launch of this clearinghouse completes Coinbase's comprehensive layout of its regulated derivatives infrastructure.

According to CoinDesk, the Clarity Act, aimed at establishing a clear regulatory framework for cryptocurrency in the United States, has been declared a failure after months of intense negotiations. The bill was originally intended to address the definition of digital assets at the federal level, but it failed to reach the final voting process due to fierce interest group conflicts.Multiple sources indicate that the core reason for the legislative collapse lies in complex jurisdictional conflicts and disputes over terms. The CFTC (Commodity Futures Trading Commission) and SEC (Securities and Exchange Commission) are in disagreement over the management rights of certain digital assets, while lawmakers also struggle to reach a consensus on how to define the legal attributes of NFTs, DeFi protocols, and stablecoins. Despite calls from organizations to eliminate market uncertainty through legislation, a key compromise proposal ultimately could not be reached.The Fintech Association and other industry organizations had previously lobbied actively in support of the bill, hoping to establish clear industry standards. With the failure of this legislation, traditional financial institutions on Wall Street and cryptocurrency projects will continue to face legal gray areas, and the industry's compliance process will thus be forced to delay.

The New Zealand Exchange O.G. Com has submitted an application to the CFTC to launch single stock perpetual futures, attempting to bring traditional stock leveraged trading into the DeFi space.

Summer Mersinger, former commissioner of the U.S. Commodity Futures Trading Commission (CFTC), will step down as CEO of the industry advocacy organization Blockchain Association at the end of the year and leave the organization. The organization announced on Friday that Mersinger will officially resign on October 16, and her predecessor, Kristin Smith, will return as interim CEO. Mersinger joined Blockchain Association in June 2025, after leaving the CFTC three years before the end of her second commissioner term.When discussing her departure, Mersinger stated that she came here from the CFTC because she believes the industry deserves clear rules and a credible and unified representative to speak for it in Washington. The Blockchain Association highlighted Mersinger's work in promoting the GENIUS Act and helping to achieve regulatory clarity at the SEC and CFTC in its statement.Notably, the organization did not mention the Digital Asset Market Clear Act currently under consideration in the Senate. This bill failed to gain enough support from Democratic and Republican lawmakers in a procedural vote earlier this month, and many experts expect the legislation to be shelved until 2027. The Blockchain Association did not immediately respond to inquiries about Mersinger's plans for 2027.

The U.S. Securities and Exchange Commission's Division of Corporation Finance updated its frequently asked questions document on cryptocurrency assets on Friday, clarifying that token buybacks, network upgrades, and marketing promotions do not automatically make cryptocurrency assets securities. The division stated that announcing a buyback plan for an already functioning cryptocurrency network does not, by itself, make the associated tokens constitute an investment contract; however, for networks that are not yet operational, if the issuer promotes the buyback as a source of returns for holders, this conclusion may not necessarily apply.Regarding the ongoing development issues of cryptocurrency projects after their launch, the document pointed out that once a cryptocurrency system is operational, services used to protect, maintain, improve, or enhance that system and its functions, or to promote network effects, do not fall under the managerial efforts referred to in the Howey test. The existing uses of marketing networks generally do not create profit expectations, and statements regarding future functionalities are similarly true, provided that profit potential is not promoted. The document reiterated that specific judgments still heavily depend on the actual circumstances of each case.This document is based on the interpretive guidance issued by the SEC in March of this year regarding the application of securities laws to cryptocurrency assets, released just weeks after the Clarity Act failed to advance in the Senate, with regulators continuing to operate under existing laws. Additionally, the U.S. Commodity Futures Trading Commission updated its cryptocurrency FAQs on Thursday, stating that futures companies and clearinghouses may invest customer funds in tokenized versions of previously permitted assets, provided that investment and custody requirements are met; regulated companies may use blockchain for record-keeping but must be able to provide relevant records when the blockchain or its block explorer is not operational.

The U.S. Commodity Futures Trading Commission (CFTC) has filed a lawsuit against Cash FX Group S.A. and its CEO Huascar Jose Lopez Castillo, The Conversion Pros Inc. and its CEO Ronald Pope, Justin Halladay, accusing the aforementioned defendants of operating a multi-level marketing Ponzi scheme that raised over $950 million from the public, including in the United States, claiming it was for retail foreign exchange contract trading.The CFTC stated that the defendants falsely claimed that funds were traded by professional traders, proprietary algorithms, and AI, promising returns of up to 15% per week; in reality, Cash FX conducted only a small amount of foreign exchange trading, and almost all participant funds were misappropriated, paying fictitious trading profits to other participants using funds from new participants, while paying millions of dollars to the defendants. The CFTC claimed that Cash FX also provided participants with false account statements to maintain the illusion of high trading returns, resulting in participants losing at least $406 million. The CFTC is seeking to order the defendants to pay restitution, recover illegal profits, pay civil monetary penalties, and impose trading and registration bans as well as permanent injunctions.

The U.S. Commodity Futures Trading Commission (CFTC) has made it clear that commodity companies will not be penalized for allocating investor funds to tokenized assets. The CFTC also pointed out that the current regulatory framework allows institutions to use blockchain technology to maintain official records.

According to Bitcoin Magazine, former Chairman of the U.S. Commodity Futures Trading Commission Chris Giancarlo stated in an interview with Bitcoin Magazine that the expansion of government spending and currency depreciation has made Bitcoin's value proposition more prominent than ever. He believes that Bitcoin's fixed supply and scarcity make it a digital form of gold, and it is expected to become a monetary anchor in the future.Giancarlo pointed out that the Federal Reserve's interest rate hikes and the continuous rise in U.S. debt levels will actually reinforce the value logic of Bitcoin. He also mentioned that the failure of the CLARITY Act to pass does not constitute a setback for Bitcoin, as the trend towards tokenized currency is irreversible. He anticipates that by 2036, all securities issuances will be tokenized.Regarding stablecoins, Giancarlo mentioned the GENIUS Act and its impact on the demand for U.S. Treasury bonds. He also reflected on his journey of becoming interested in Bitcoin after the 2008 financial crisis, as well as his experience of being dubbed the "Crypto Dad" due to his friendly attitude towards the crypto industry.

According to Decrypt, Mike Selig, the chairman of the U.S. Commodity Futures Trading Commission (CFTC), stated that after the Senate rejected the Clear Act, the CFTC will continue to advance the formulation of rules for the cryptocurrency market structure, saying "now is the time for action." Selig pointed out that the CFTC's existing statutory authority provides room for advancing the rules without waiting for Congress to pass new legislation.The agency will also reassess the current rules applicable to algorithmic and smart agent-driven 24/7 on-chain markets. Related arrangements may include establishing designated contract market categories that allow exchanges to offer cryptocurrency leveraged trading under CFTC regulation; however, the CFTC does not have the authority to regulate the spot market, and regulation of the spot market still requires legislation.

According to a post by Watcher Guru, the Chairman of the U.S. Commodity Futures Trading Commission (CFTC), Mike Selig, stated that the agency is preparing for onchain systems, mass tokenization, 24/7 trading, and agentic finance.The preparation directions mentioned by Selig include onchain systems, mass tokenization, 24/7 trading, and agentic finance.

Democratic members of the U.S. Senate Banking Committee sent a letter to the committee's chairman, Republican Senator Tim Scott, calling for a congressional hearing on prediction markets. The Democrats stated in the letter that the committee has a "critical oversight responsibility" in regulating prediction markets and emphasized that Congress should examine prediction markets through public hearings on a bipartisan basis, rather than in closed-door roundtable meetings limited to Republicans and industry-friendly discussions. Senators including Elizabeth Warren signed the letter.On the same day, Republican members of the Senate Banking Committee met with Tarek Mansour, CEO of the prediction market platform Kalshi. Scott stated in a statement to The Block that he convened Republican lawmakers to meet with Kalshi to better understand the opportunities and challenges presented by securities-linked products. The two sides discussed keeping innovation within the United States, how investors use these products, protecting retail investors, and regulatory issues that Congress should address. Kalshi did not immediately respond to a request for comment.Currently, the U.S. Commodity Futures Trading Commission (CFTC) advocates for a leading role in the regulation of prediction markets but faces opposition from various states, which claim jurisdiction over sports event contracts. The Senate Banking Committee, on the other hand, has jurisdiction over the SEC and is responsible for regulating "securities-linked products" related to prediction markets. Democrats pointed out that the bets offered by such products, which are linked to company performance metrics, may fall under the SEC's regulatory scope. It has been reported that Cboe Global Markets is seeking SEC approval for its listing of "all-or-nothing options" linked to company earnings results.