CFTC Announces Crypto Sprint Initiative in New Collaboration with SEC

U.S. Commodity Futures Trading Commission (CFTC) announces the launch of “Crypto Sprint” to turn recommendations from last week’s White House digital asset report into concrete action. This was conveyed in a statement recently issued by Acting CFTC Chair Caroline Pham following the release of the White House digital asset report. Last week, the Presidential Working Group on Digital Assets outlined several recommendations to foster innovation in the crypto space.  White House Recommendations to CFTC  Some of these recommendations directly concern the CFTC, while others require the regulator to work with other sister agencies, including the Treasury and the SEC.  A segment of the report suggested that the CFTC be made the appropriate regulator for cryptocurrencies deemed commodities.  In addition, the Working Group also urged the CFTC and SEC to collaborate and provide regulatory clarity for businesses and users in the digital asset market.  CFTC Unveils Crypto Sprint, Plans to Work with SEC  Shortly after the report was made public, Pham emphasized that the CFTC will not delay in fulfilling Donald Trump’s vision to position the U.S. as the global leader of the nascent industry.  To fulfill this vision, Pham announced the “CFTC Crypto Sprint” to bring the suggestions from the digital asset report to fruition. https://twitter.com/CFTC/status/1951403234318491695 Under the Crypto Sprint initiative, Pham said the CFTC will work with the SEC chair, Paul Atkins, and pro-crypto commissioner Hester Peirce on its recently launched Project Crypto initiative.  For context, the SEC flagged off the Project Crypto initiative last week as part of efforts to modernize the agency’s rulebook and transition the U.S. financial markets onto the blockchain. The CFTC has confirmed that it will work with the SEC to ensure the success of Project Crypto.  According to Pham, providing regulatory clarity and fostering innovation in the digital asset market could help the Trump-led administration fulfill its promise of ushering in the “Golden Age of Crypto.”  Meanwhile, she provided insights into the CFTC’s recent pro-crypto actions, including holding its first-ever Crypto Forum and withdrawing outdated staff advisories.  During the Biden administration, the SEC and CFTC had engaged in a longstanding debate over which regulator should oversee the crypto market. However, this dynamic has shifted under the new administration, with the CFTC extending an olive branch to the SEC to support the success of Project Crypto.