The crypto-regulation chess match between U.S. agencies may be nearing a fresh game. Brian Selig, nominated to lead the Commodity Futures Trading Commission, recently pledged to make the United States the “Crypto Capital of the World.” This bold claim signals a major shift in how America might handle digital assets.
CFTC nominee Brian Selig vows to transform America into the Crypto Capital of the World through ambitious regulatory reform.
Outgoing Chair Rostin Behnam leaves behind an interesting legacy. He joined the CFTC as commissioner in September 2017 and became chair in September 2021. His final day arrives on February 7, 2025. During his tenure, Behnam repeatedly asked Congress to give the CFTC authority over cash markets for crypto commodities. Without that power, he predicted more enforcement actions would fill the gap.
The numbers tell an important story. Bitcoin, Ethereum, Tether, and BNB together make up roughly 75 to 80 percent of the entire crypto market. Courts have already ruled that ether counts as a commodity. This means most major cryptocurrencies fall outside securities laws, creating what regulators call a “regulatory gap.” Global crypto market size has expanded dramatically in recent years, reaching trillions in value by 2024.
Behnam’s CFTC worked within existing rules. The agency permitted round-the-clock crypto trading in April and launched long-dated futures contracts on Coinbase in July. These moves helped legitimize crypto markets without new laws from Congress. Recent litigation victories against DAOs and manipulation schemes showed the agency could still protect investors. Behnam argued that regulation brings transparency and allows high-quality participants to prevail in the market.
Selig promises a different approach. Instead of enforcement first, he wants clarity first. The new leadership aims to promote freedom, competition, and innovation in digital assets. Acting Chair Pham even announced a “crypto sprint” to provide faster regulatory guidance. Spot crypto trading on official contract markets could arrive by year’s end. Behnam prioritized investments in technology and infrastructure to strengthen the agency’s capabilities even within a largely static budget.
The shift raises fascinating questions. Can the CFTC update its rulebook for vertical integration, decentralization, and new risks? Will Congress finally grant spot market authority? How will customer protections work in decentralized finance?
Whether America truly becomes the “Crypto Capital of the World” remains uncertain. But the CFTC is clearly changing gears, moving from cautious enforcement toward ambitious innovation. The next chapter in crypto regulation might surprise everyone.
