Commodity Futures Trading Commission expands crypto trading access

Commodity Futures Trading Commission: The Commodity Futures Trading Commission is the independent U.S. federal agency tasked with regulating the nation's derivatives markets, including futures, options on futures, and swaps. In the current development, it issued staff guidance exempting passive software providers from broker registration requirements when partnering with regulated entities, provided they do not take custody of user assets. This step supports expanded access to crypto and prediction market trading via online platforms. Compliance Framework: Qualifying providers must avoid exercising discretion over user orders and maintain policies that limit their role to passive connectivity between users and CFTC-registered firms. Regulatory Expansion: The CFTC broadened earlier no-action relief granted to Phantom Technologies to cover a wider range of passive software providers facilitating access to regulated derivatives markets.