Commodity Futures Trading Commission Chair Mike Selig said the regulator is preparing for markets to shift toward "24-7, on-chain" operations, speaking to CNBC on Wednesday.
Selig described the current moment as an exciting time for regulating markets tied to cryptocurrency and artificial intelligence. He emphasized the need to reevaluate existing rules to accommodate the transition to automated, around-the-clock markets powered by algorithms and algorithmic trading systems.
"Our markets are rapidly evolving," Selig said. "We really have to reevaluate all of our rules and regulations to make sure that we're ready and prepared for this transition to 24-7 on-chain and these automated markets that are facilitated through the use of algorithms and agentic finance."
Regulatory Push Continues Despite Failed Legislation
The CFTC is advancing its crypto rulemaking agenda even after lawmakers blocked the Clarity Act last week. The proposed legislation aimed to divide regulatory oversight by clarifying which digital assets fall under securities, commodities, or stablecoin classifications.
The Clarity Act encountered opposition from multiple stakeholders, including banking groups concerned about stablecoin reward programs and lawmakers focused on ethical considerations around the bill's provisions.
The CFTC sent a proposal to the White House last week to regulate crypto transactions and markets. Meanwhile, the Securities and Exchange Commission approved tokenized stocks trading the same week and proposed its own framework for crypto asset offerings in August.
Selig, formerly chief counsel at the SEC's Crypto Task Force, has been described as instrumental in advancing the administration's crypto agenda. President Trump had urged lawmakers in August to pass the Clarity Act, calling it "very, very powerful."
