U.S. financial regulatory bodies have released guidance on how properly licensed exchanges can facilitate spot cryptocurrency trading.
In a collaborative statement, personnel from both the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC) indicated that regulated trading venues, both those within the U.S. and certain international counterparts, may list and trade spot crypto assets while remaining compliant with existing legislation.
This announcement is designed to offer increased clarity to exchange operators like national stock exchanges (NSEs), designated contract markets (DCMs), and specific foreign boards of trade (FBOTs).
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The statement highlights that such activities are permissible, provided that the platforms adhere to existing regulatory requirements and maintain open communication with the governing agencies.
The joint communication encourages exchange operators to contact the SEC or CFTC staff for guidance or to address any inquiries. The agencies have also indicated their willingness to review exchange applications and resolve issues related to custodial services and trade settlement.
Furthermore, they assure that new spot market offerings will be evaluated against benchmarks for transparency, robust market oversight, and robust customer protection measures.
According to this framework, exchanges such as the New York Stock Exchange, Nasdaq, CME Group, and Cboe Global Markets, along with certain CFTC-approved foreign trading platforms, may be eligible to offer spot crypto products. The agencies suggest these exchanges consult directly with regulatory personnel before launching any crypto-related offerings.
In related news, the CFTC recently enacted updated regulations governing foreign commodity exchanges. Want more information? Learn more here.