Crypto Scenario Insights

The CFTC’s Looming Regulatory Pivot

What happened

During an inaugural meeting of the CFTC’s Innovation Advisory Committee, Chair Michael Selig indicated that the agency is prepared to bypass legislative gridlock in Congress to create a regulatory framework for digital a…

If it goes well

If the CFTC successfully implements a robust framework, the U.S. could see a surge in institutional participation as legal uncertainty dissipates.

If it goes badly

If the CFTC’s rules are overly restrictive or fail to account for the specific technical nuances of blockchain, the industry could face a period of forced consolidation or exit.

What we think

Our reading is that the CFTC is attempting to exert pressure on Congress by highlighting the agency's own capacity to act.

Read the analysis

The CFTC’s Looming Regulatory Pivot

We explain what happened and what could follow. We do not forecast prices.

Read the full analysis