Bitcoin News Today: CFTC Expands Crypto Regulation with Public Comment Deadline on October 20

The U.S. Commodity Futures Trading Commission (CFTC) has launched a new phase of its “Crypto Sprint,” inviting public comment on the development of broader digital asset regulations. The initiative, announced on August 22, 2025, aims to address regulatory gaps in spot trading of digital assets and enhance clarity for institutional market participants. The CFTC is seeking input from stakeholders to shape rules that will govern trading on CFTC-registered exchanges, with a public comment deadline set for October 20, 2025 [1].

Acting Chair Caroline D. Pham emphasized that the effort is part of a larger push to bring regulatory clarity to the digital asset market, with support from the White House and the President’s Working Group on Digital Asset Markets. The initiative includes plans to facilitate leveraged and margined retail trading, a move that could attract more traditional financial institutions to the crypto space [1]. The CFTC’s goal is to reduce legal uncertainties surrounding digital assets such as Bitcoin and Ethereum, which could lead to greater investment from both established financial firms and native crypto market participants [4].

The initiative aligns with recent legislative developments, including the passage of the CLARITY Act by the U.S. House of Representatives in July 2025. The bill reclassifies Bitcoin as a commodity under CFTC jurisdiction, a step that is expected to clarify the division of oversight responsibilities between the CFTC and the Securities and Exchange Commission (SEC) [1]. The bill now awaits Senate approval, with projections from supporters like Senator Cynthia Lummis suggesting it may reach the President’s desk by Thanksgiving 2025 [6].

Brian Quintenz, the newly confirmed CFTC Chair, has engaged with industry stakeholders to shape a balanced approach to regulation that supports innovation while ensuring investor protection. Analysts suggest that his leadership could play a pivotal role in fostering institutional confidence and accelerating the integration of digital assets into traditional financial systems [1]. The CFTC’s expanded role is seen as a potential catalyst for market stability, as regulatory uncertainty has long been a barrier to broader adoption of crypto assets [4].

The White House has also signaled support for the CFTC’s increased involvement, particularly in the regulation of non-security tokens like Bitcoin. However, the agency faces internal challenges, including staff reductions and restructuring, which may affect its ability to manage expanded responsibilities [4]. Notably, the CFTC has paused enforcement actions against crypto firms for registration violations, indicating a potential shift in its regulatory approach [4].

The CFTC’s renewed focus on digital assets, supported by legislative progress and engagement with industry participants, marks a pivotal development in U.S. crypto regulation. The outcome of this initiative could shape the long-term trajectory of the crypto market and influence its integration into the broader financial system [3].

Sources:

[1] Strategic Implications of Brian Quintenz's CFTC Confirmation

(https://www.ainvest.com/news/strategic-implications-brian-quintenz-cftc-confirmation-crypto-markets-2508/)

[2] Scott Melker: CFTC unveils crypto sprint

(https://tradersunion.com/news/market-voices/show/451722-cftc-crypto-sprint/)

[3] White House Report Outlines a Realignment in Federal

(https://www.pillsburylaw.com/en/news-and-insights/digital-assets-white-house-policy-report.html)

[4] As Crypto Duties Loom, CFTC Is Hit by Staff Cuts and Turmoil

(https://www.bloomberg.com/news/features/2025-08-21/as-crypto-duties-loom-cftc-is-hit-by-staff-cuts-and-turmoil?srnd=phx-markets)

[6] Crypto's Integration Into The Traditional Financial System Is

(https://www.mondaq.com/unitedstates/fin-tech/1668620/cryptos-integration-into-the-traditional-financial-system-is-underway)