CFTC Proposes Crypto Rules to Fill Congress's Gap | CoinDesk Daily

Uyen Truong (0:00)

The CFTC proposes its own crypto rule book, and Treasury scraps its unhosted wallet rule. This is CoinDesk Daily.

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The CFTC is proposing two rules to build a federal framework for crypto, stepping in after Congress failed to pass a market structure law.

Regulation CTX would cover crypto trades involving leverage, margin, or financing. Regulation CAM would create a new category of exchanges called crypto asset markets. The proposal is now open for 60 days of public comment. Treasury's FINCEN has scrapped a proposed rule that would have forced banks and crypto exchanges to report transfers over $10,000 to self-hosted wallets. The proposal dates to December 2020 and drew thousands of comments, but it never took effect. FINCEN also withdrew a 2023 proposal that would have labeled crypto mixers a primary money laundering concern. The agency says both moves are part of the administration's deregulatory agenda. And Treasury has sanctioned five parties tied to a six-year fundraising operation that sent more than $2 million to Hamas. Treasury says two France-based individuals raised money for humanitarian causes, then passed it to Hamas. That includes $1.5 million after the October 7, 2023 attack. Hundreds of thousands of dollars went in crypto to a Gaza-based commander and Hamas' al-Qassam brigades. Treasury did not say the full $2 million moved in crypto. Get more updates on coindesk.com. Want trusted crypto research? Check out The Stack, Grayscale's blog. Visit grayscale.com/thestack.

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