Crypto Firms That Left U.S. Can Open Doors Here as Foreign Boards of Trade

The Commodity Futures Trading Commission — below its ongoing “crypto dash” to open a wider path for U.S. crypto enterprise — issued an advisory on Thursday that companies residing outdoors the U.S. which can be keen to register with the company as international boards of commerce can deal immediately with U.S. prospects.

“American companies that were forced to set up shop in foreign jurisdictions to facilitate crypto asset trading now have a path back to U.S. markets,” stated CFTC Acting Chairman Caroline Pham in a press release with the advisory, which did not make any modifications to company coverage however was meant to serve as a “reminder” of a doable strategy for such firms.

“Since the 1990s, Americans have been able to trade on non-U.S. exchanges that are registered with the CFTC as FBOTs. Starting now, the CFTC welcomes back Americans that want to trade efficiently and safely under CFTC regulations, and opens up U.S. markets to the rest of the world,” stated Pham, who’s holding the regulator’s management spot till a everlasting substitute chosen by President Donald Trump will be confirmed by the Senate.

She referred to as the advisory, which was issued by the CFTC’s Division of Market Oversight, “another example of how the CFTC will continue to deliver wins for President Trump as part of our crypto sprint.”

The agency has been receiving increased interest in such registrations, the statement said, and the CFTC aims to make clear that firms eligible for FBOT status don’t have to register as U.S. designated contract markets (DCMs) in order to let U.S. clients directly access their electronic trading services. The firms do have to be rigorously regulated on their home turf, according to the CFTC regulations.

Trump had nominated Brian Quintenz, a former CFTC commissioner, to take over the chairman spot, but the White House paused his confirmation process before the Senate’s summer recess. He’s expected to return to that process as soon as next week, but if he’s confirmed, he’ll be the only member of what’s meant to be a five-person commission. Republican Pham has said she’s set to leave, and the commission’s only Democrat, Kristin Johnson, is exiting next week.

Meanwhile, Pham has been using much of her time atop the commission to pursue crypto-friendly initiatives.

Read More: While CFTC Awaits New Chairman, Acting Chief Pham Gets Rolling on Crypto