The US CFTC has withdrawn its 2020 guidance focusing on the "physical settlement" of digital assets.
TL;DR
The CFTC is withdrawing its 2020 guidance on 'physical settlement' of digital assets, deeming it outdated. This move aligns with recommendations to streamline regulations and enhance market safety.
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According to ChainCatcher, market sources indicate that Caroline Pham, acting chair of the U.S. Commodity Futures Trading Commission (CFTC), stated that the agency is withdrawing "outdated and overly complex guidance" related to the delivery of digital assets.
Pham stated that the agency will withdraw its 2020 guidance under the Dodd-Frank Act, a federal law passed in 2010 to address the 2008 financial crisis. The guidance focused on the "physical delivery" of digital assets. Pham indicated this was part of recommendations in a report by the President's Task Force on Digital Asset Markets. This summer, the White House released a lengthy report on cryptocurrencies, addressing illicit finance and taxation issues, and recommending granting the Commodity Futures Trading Commission (CFTC) regulatory power over digital assets. "Today's announcement demonstrates that decisive action can make tangible progress in protecting the interests of Americans by facilitating safe access to U.S. markets," Pham said on Thursday.