US CFTC Acting Chairman confirms plans to promote leveraged spot cryptocurrency trading on regulated exchanges

ChainCatcher news, according to The Block, Caroline Pham, Acting Chair of the U.S. Commodity Futures Trading Commission (CFTC), has confirmed that the agency is in direct talks with regulated exchanges regarding spot cryptocurrency trading products that include leverage, which could be launched as early as next month.

Pham has held discussions with designated contract market exchanges regulated by the CFTC, including CME, Cboe Futures Exchange, and ICE Futures, as well as Coinbase Derivatives, Kalshi, and Polymarket US, to discuss the launch of spot cryptocurrency trading products involving margin, leverage, and financing. Pham has not waited for Congressional action to explicitly grant the CFTC regulatory authority over the spot crypto market, but is instead utilizing existing provisions of the Commodity Exchange Act, which requires that retail commodity transactions involving leverage, margin, or financing must be conducted on regulated exchanges. Trump has nominated SEC official Mike Selig to succeed Pham, but due to the government shutdown, it is unclear when Selig will receive Senate confirmation. It is reported that Pham is expected to join MoonPay after being succeeded.