CFTC Crypto Regulation Proposal Advances to OIRA for Prerule Review

The Commodity Futures Trading Commission submitted its crypto asset rulemaking package, including Regulation Crypto Asset Transactions and Regulation Crypto Asset Markets, to the Office of Information and Regulatory Affairs on or around September 17, 2026. The filing occurred after the Senate failed to advance the CLARITY Act on September 15, 2026, with a 49-50 vote short of the 60 votes required for cloture.

CFTC Crypto Regulation Proposal Framework and Scope

On October 5, 2026, the CFTC released an Advance Notice of Proposed Rulemaking that outlines two potential frameworks under Section 2(c)(2)(D) of the Commodity Exchange Act. Regulation Crypto Asset Transactions would define the triggers for CFTC jurisdiction over offers of leverage, margin or financing in crypto asset transactions, even when those offers are declined, and would clarify the meaning of actual delivery. Regulation Crypto Asset Markets would establish a new subcategory of designated contract market registration limited to venues that offer only these retail commodity transactions, with adapted core principles, possible futures commission merchant intermediation and derivatives clearing organization clearing requirements.

The ANPRM does not contain proposed regulatory text. It instead solicits public input on preventing abusive practices, existing industry standards and the operational structure of a crypto asset market designation. The notice was published in the Federal Register on October 13, 2026, opening a 60-day comment period that closes on December 14, 2026. CFTC Chair Michael Selig has stated that the agency is acting under existing statutory authority to deliver clarity and consumer protections without requiring new legislation.

The initial OIRA submission was classified at the prerule stage. No deadline for completion of that review has been announced, and the filing has not been designated as economically significant. The agency has overseen certain crypto asset activities since approximately 2014 and previously issued, then withdrew, guidance on actual delivery standards.

Legislative Context and Timeline Ahead

The CFTC action follows the Senate’s inability to proceed with the CLARITY Act, legislation that had sought to divide regulatory jurisdiction between the CFTC and the Securities and Exchange Commission and to mandate registration for certain platforms. Without that statute, the agency is pursuing a federal framework that would remain optional for exchanges rather than compulsory. Chair Selig has referenced past market failures, including the FTX collapse, as motivation for clearer rules on retail transactions.

Market participants can submit comments through Regulations.gov under docket CFTC-2026-2179. The agency will use the responses to develop any future notice of proposed rulemaking, which would itself undergo additional OIRA review, a Commission vote and another public comment period. Full implementation of any final rules is not expected before late 2027 at the earliest. Analysts have noted that the schedule could intersect with the 2028 election cycle, adding further timing uncertainty.

Stakeholders should review the Federal Register notice and the CFTC press release dated October 5, 2026, to prepare detailed responses on jurisdiction triggers, clearing arrangements and best practices for retail crypto trading venues. The current process provides an opportunity to shape standards before any binding obligations are proposed.