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      CFTC Chairman Clarifies New Regulations on Cryptocurrency Trading Leverage

      Michael Selig, Chairman of the U.S. Commodity Futures Trading Commission (CFTC), announced in an interview with CNBC that only federally regulated cryptocurrency trading platforms will be permitted to offer leveraged trading under the agency's proposed rules. He emphasized that states are limited to providing money transmission services and that the high leverage ratios, such as the 100x leverage commonly available on platforms outside the United States, will not be permitted in the U.S.

      The CFTC's proposed regulations aim to create a clearer regulatory framework for cryptocurrency trading in the United States, particularly in light of ongoing legislative delays in Congress regarding comprehensive cryptocurrency legislation. Selig reiterated that the CFTC intends to use its authority to regulate leverage and margin trading to address the existing regulatory uncertainty in the market.

      © 2026 KLEA News. All Rights Reserved. This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.

      Source: KLEA News

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