The CFTC is set to allow leveraged spot cryptocurrency trading on regulated exchanges such as CME and Cboe, as reported by CoinDesk on November 9.
Acting Chair Caroline Pham confirmed that the agency is in advanced talks to allow these products next month.
This initiative bypasses the gridlocked Congress by using existing authority, arguing that any commodity traded with leverage falls within the CFTC's jurisdiction.
This move could fundamentally reshape the cryptocurrency market, shifting a massive segment of retail activity from unregulated offshore platforms to major US exchanges.