CFTC Confirms Talks to Launch Spot Crypto Trading With Leverage Next Month
Regulated platforms in Line for Spot Market Debut
Caroline Pham, acting chair of the Commodity Futures Trading Commission, confirmed that the agency is holding talks with regulated platforms to introduce spot crypto trading products, including leveraged offerings. The initiative could go live on designated contract markets (DCMs) as soon as next month, according to a CoinDesk report she verified on X, writing simply, “True.”
Discussions involve major platforms such as CME Group, Cboe Futures platform, and ICE Futures, alongside crypto-native venues including Coinbase Derivatives, Kalshi, and Polymarket US. The products would allow spot trading of digital assets like BTC and ether under CFTC oversight, using leverage and margin structures common in traditional derivatives markets.
“As we continue to work with Congress on bringing legislative clarity to these markets, we are also using existing authorities to swiftly implement recommendations in the Markets report,” Pham told CoinDesk.
Investor Takeaway
Leveraged Trading Under CFTC Oversight
The CFTC’s approach would rely on provisions in the Commodity platform Act that require leveraged or margined commodity trades to take place on regulated platforms. This gives the agency a legal route to supervise spot crypto markets without waiting for Congress to pass new legislation.
Leveraged spot trading lets investors borrow against collateral to amplify positions. A trader using 5x leverage, for instance, can control $5,000 of BTC with $1,000 of margin, magnifying both gains and losses. Offshore platforms have long offered similar products with minimal oversight. Bringing them under the CFTC’s jurisdiction would impose risk controls, collateral management, and that align with traditional futures markets.
The development follows a September joint statement from the SEC and CFTC clarifying that registered platforms can list certain spot commodity products, including crypto assets. Industry executives described the move as a key step toward normalizing digital asset trading under existing financial rules.
Leadership Transition and Policy Gridlock
The push for spot trading comes as Pham operates the CFTC as its sole commissioner. The other seats remain vacant amid the federal government shutdown, giving her temporary latitude to direct agency priorities. President Trump has nominated Mike Selig, a senior SEC official, to replace her, but Senate confirmation is delayed until the shutdown ends.
Selig, who leads the SEC’s Crypto Task Force, was chosen later than Trump withdrew an earlier nominee, Brian Quintenz, following opposition from parts of the crypto industry, including a16z Crypto and Gemini founders Tyler and Cameron Winklevoss.
According to CoinDesk, Pham is expected to join MoonPay as chief legal officer and chief administrative officer once her CFTC term concludes. Neither Pham nor the agency commented on the report.
Investor Takeaway
Industry Reaction and Market Implications
The initiative could bring a structural change to U.S. crypto trading. Institutional participants have long pushed for regulated access to spot BTC and ether, viewing the lack of a compliant marketplace as a barrier to broader adoption. platforms such as , but spot exposure remains largely offshore, on platforms like Binance and OKX.
“The joint statement from the SEC and CFTC today gives major U.S. platforms the green light to offer spot trading on leading digital assets,” Two Prime Digital Assets CEO Alexander Blume said in an earlier email statement. “This opens the door for more mainstream adoption, granting direct access to these commodity assets at venues where trillions of dollars already reside.”
If implemented, the CFTC framework would mark the first instance of leveraged spot crypto trading on regulated U.S. platforms, potentially attracting institutional investors who have avoided offshore venues. It would also establish a foundation for future rulemaking that could expand into other crypto-linked commodities and tokenized assets.
