CFTC Opens Public Comment on Retail Crypto Rules CTX and CAM

The U.S. Commodity Futures Trading Commission published an Advanced Notice of Proposed Rulemaking on Oct. 5, 2026, opening public consultation on a federal framework for retail crypto trading, according to Financemagnates.

The notice covers two parts of the framework: Regulation Crypto Asset Transactions, or Regulation CTX, and Regulation Crypto Asset Markets, or Regulation CAM. Crypto.news reported that written submissions are due within 60 days of the notice’s publication in the Federal Register, and that comments received will be posted on Regulations.gov. The agency said the notice concerns retail commodity transactions involving crypto assets, which it calls crypto asset transactions, or CTXs, under Section 2(c)(2)(D) of the Commodity Exchange Act.

Also read: CFTC Registers Coinbase Clearing LLC, Completing Derivatives Stack

Key facts

• The CFTC issued the Advanced Notice of Proposed Rulemaking on Oct. 5, 2026, seeking input on a regulatory framework for retail crypto asset transactions and the markets where they are offered.
• Written comments are due within 60 days of the notice’s Federal Register publication, and submissions will be posted on Regulations.gov, per Crypto.news.
• Regulation CAM would create a crypto-specific category within the agency’s designated contract market registration system, while Regulation CTX would set requirements for registered exchanges offering crypto trading.
• Chairman Michael S. Selig said the agency does not have authority to impose mandatory registration on all crypto exchanges without congressional action.
• The CFTC submitted the framework to the White House Office of Information and Regulatory Affairs on Sept. 17, 2026, before its publication, according to Crypto.news.

What the notice asks for

The consultation seeks views on measures to address abusive practices in crypto markets, on regulatory requirements and industry practices, and on crypto-specific information that would help participants comply with requirements attached to CTXs. The agency said its oversight experience since 2014 informed the practices and requirements addressed in the notice.

The notice does not introduce new rules. It begins a process for gathering input on how retail crypto transactions could be regulated, and the CFTC said the comments will inform potential future action, including formal rulemaking. A separate part of the notice asks how the CAM registration subcategory could be established through rulemaking.

Also read: CFTC Sues Cash FX Over Alleged $950M Forex Ponzi Scheme

In an opinion article published Oct. 5 and in remarks at Fordham Law’s Blockchain Regulatory Symposium the same day, Selig described the framework as an option for firms seeking a single federal market regulator. Participating exchanges could offer retail customers margined, leveraged or financed crypto trading, which he distinguished from ordinary spot transactions on state-licensed platforms. On compulsory registration, Selig wrote that the agency lacks the authority to impose such a requirement without congressional action, adding that agency rules could address some gaps in crypto market structure but could not indefinitely replace a framework enacted by Congress.

Registration paths and listing safeguards

Exchanges already registered as designated contract markets could receive tailored rules allowing CTX trading. Firms that want to offer only CTXs could pursue ordinary designated contract market registration or the proposed crypto asset market category. Under Selig’s description, CAM exchanges would follow statutory designated contract market core principles through regulations adapted to crypto transactions, while platforms offering futures, options or swaps would remain under the existing designated contract market framework.

Selig identified token distribution, concentrated holdings, lockups, vesting schedules, programmed issuance and buybacks as factors relevant to manipulation risks, and said the contemplated rules include a proof-of-reserves obligation for exchanges holding customer property in pooled accounts. Using FTX as an example, he said its founders misappropriated approximately $8 billion in customer money, contrasting the bankrupt offshore and state-regulated entities with its CFTC-registered subsidiary, where he said customer property remained segregated and secure.

Why it matters

The consultation follows a stalled legislative route for crypto market structure. The Senate rejected cloture on the motion to proceed to H.R. 3633 by 49 votes to 50 on Sept. 16, 2026, Crypto.news reported; the motion required 60 votes and senators did not hold a final passage vote. That bill would have divided digital-asset responsibilities between the SEC and CFTC and created registration routes for exchanges, brokers and dealers. With legislation blocked, the agency’s notice is the main federal process currently open for shaping retail crypto trading requirements, and it matters most to exchanges weighing whether a single federal registration option is worth pursuing.

What to watch

The Federal Register publication date will set the clock on the 60-day comment window, after which the agency will review submissions posted on Regulations.gov. The notice’s comment period and any subsequent rulemaking proposal are the next concrete decision points, while the House-passed CLARITY Act remains on the Senate calendar after Sen. Thom Tillis changed his vote to preserve the ability to seek reconsideration, according to Crypto.news.

This article describes a regulatory consultation and does not constitute financial advice; crypto markets are volatile and outcomes are uncertain.

Written by

Emily Torres

Emily Torres covers cryptocurrency and decentralized finance for StockPil, tracking blockchain markets and regulatory developments.

Sources: Finance Magnates, Crypto.news