The U.S. Commodity Futures Trading Commission has begun drafting a new regulatory framework for cryptocurrency markets, according to a report from The Crypto Times, the agency's most expansive attempt yet to bring digital asset trading under federal supervision.

The framework, still in early drafting stages, would cover spot markets, custody arrangements, and market integrity standards — areas now overseen by a patchwork of federal and state regulators. The Securities and Exchange Commission has carried most crypto enforcement to date, but courts and Congress have repeatedly pressed the question of where digital assets fall on the securities-versus-commodities line.

What's driving the push?

The CFTC's statutory authority over crypto today extends chiefly to derivatives — futures and swaps tied to digital assets. The agency wants explicit jurisdiction over spot markets, where most retail and institutional trading actually occurs.

Acting Chair Caroline Pham, who assumed the role earlier in 2025, has framed the project as a market-structure priority. Pham has repeatedly invoked the need for "clear rules of the road" for digital assets in public remarks and agency press releases. Former Chair Rostin Behnam, who stepped down earlier this year, told the Senate Agriculture Committee in 2023 the agency was "ready, willing, and able" to police spot crypto if Congress granted the authority. The new framework is the agency's attempt to do so administratively rather than legislatively.

What would the framework cover?

The Crypto Times report indicates the draft addresses areas including spot market structure, custody standards for digital asset intermediaries, market manipulation and surveillance, and registration pathways for crypto-native platforms.

The plan would not displace SEC enforcement. The two agencies have negotiated a de facto division: bitcoin and ether trading sit with the CFTC, while tokenized securities offerings remain with the SEC.

How is industry reacting?

The largest U.S. crypto trade group, the Digital Chamber, called the framework "a long-overdue step" in a statement responding to the report. CME Group and CBOE, the two dominant U.S. derivatives exchanges, have long argued spot market oversight belongs with the CFTC.

Smaller trading platforms are pushing back on compliance costs. Coinbase has argued publicly against any framework that would layer traditional-finance obligations onto crypto-native firms without recognizing the underlying technology, Chief Legal Officer Paul Grewal has said.

What's the timeline?

The CFTC has not published a rulemaking timetable. A formal notice of proposed rulemaking could surface before the end of fiscal 2026, followed by an industry comment period that may run several months.

The framework will face courtroom tests. Token issuers, decentralized-finance developers and at least one major crypto industry group have signaled they will challenge any framework that treats on-chain activity as a regulated commodity transaction. The agency's eventual rule will measure how far it can stretch its existing statutory footprint without fresh legislation from a divided Congress.