SEC and CFTC plans to write crypto rules without Congress – but they can’t make them permanent
CFTC Chair Michael Selig said the agency has crypto rule proposals ready and aims to finalize them before the current administration ends, even if Congress does not pass CLARITY. SEC Commissioner Hester Peirce similarly said the SEC can keep moving on crypto rulemaking without legislation. Senate action on CLARITY remains stalled, though a cloture vote is set for around Sept. 15; the House passed its version last year. The SEC and CFTC have already issued a joint interpretation that most crypto assets are not securities, and both agencies are moving ahead with narrower rulemaking. The CFTC is advancing rules for leveraged retail crypto trading and a special exchange registration category, while the SEC is considering a dedicated offering regime for some crypto investment contracts. Still, agency actions are less durable than statute. Interpretations can change, and court deference is weaker after Loper Bright. Final rules would be harder for a future administration to unwind, but only Congress can create permanent, future-proof crypto regulation. Bitcoin already has stronger commodity treatment than most crypto assets; the main impact of delayed legislation is continued uncertainty for altcoins, staking, DeFi, and crypto market structure.
