U.S. Regulators Signal Approval for Spot Crypto Trading on Licensed Exchanges

Jimmy Aki
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The Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC) said regulated U.S. exchanges can begin offering spot crypto trading under federal rules.

SEC and CFTC Collaboration Seeks Unified Oversight

In a joint statement on September 2, the agencies confirmed that existing law already permits licensed venues, including national securities exchanges (NSEs), designated contract markets (DCMs), and foreign boards of trade, to list digital assets. Leveraged and margin products are also allowed if they meet federal standards.

The SEC’s Division of Trading and Markets and the CFTC’s Divisions of Market Oversight and Clearing and Risk said they are coordinating through the SEC’s Project Crypto and the CFTC’s Crypto Sprint to streamline the process.

Their priorities include clear custody rules, stronger market surveillance, and investor protection. The agencies emphasized that only regulated exchanges following strict requirements will be allowed to list spot crypto products.

Until now, Coinbase and Kraken have dominated spot crypto trading in the U.S. The new guidance opens the door for Nasdaq, the New York Stock Exchange, CME Group, and Cboe Global Markets to enter the market.

Large investors will be able to access digital assets directly through licensed exchanges.

Retail traders will also gain clearer protections, since spot trading involves owning the asset itself, unlike futures that only track its price. Regulators said moving trading onto regulated venues will cut down on fraud and manipulation.

New Venture is Projected to Drive Blockchain Innovation in the U.S.

The move reflects pressure under President Donald Trump’s administration to foster blockchain innovation without losing regulatory control.

The President’s Working Group on Digital Asset Markets issued 18 recommendations, urging agencies to provide clarity and keep innovation within U.S. borders.

Two of the proposals went to the CFTC, while the remaining 16 required close cooperation with the SEC and other regulators.

https://twitter.com/BTCTN/status/1950632291543515553

That coordination is already underway. The agencies are drafting a single rulebook, creating a shared sandbox for testing new ideas, and aligning timelines to reduce uncertainty for exchanges and crypto firms.

Both regulators have launched new initiatives, with the SEC advancing Project Crypto and the CFTC accelerating efforts through its Crypto Sprint.

The CFTC has also approved a measure that allows registered exchanges to list spot crypto contracts, signaling stronger support for the sector.

Private firms are moving quickly in response. Asset manager 21Shares has applied to the SEC for a crypto exchange-traded fund, while Kraken has engaged with the SEC’s Crypto Task Force to explore tokenizing traditional financial assets.

With major exchanges preparing to enter and regulators working toward a unified framework, spot crypto trading in the U.S. is set to expand, balancing market growth with investor protection at its core.

About Jimmy Aki PRO INVESTOR

Based in the UK, Jimmy is an economic researcher with outstanding hands-on and heads-on experience in Macroeconomic finance analysis, forecasting and planning. He has honed his skills having worked cross-continental as a finance analyst, which gives him inter-cultural experience. He currently has a strong passion for regulation and macroeconomic trends as it allows him peek under the global bonnet to see how the world works.