U.S. Senate Proposes Shift from SEC to CFTC for Crypto Regulation

A new bipartisan U.S. Senate proposal seeks to transfer digital asset regulatory power from the SEC to the CFTC, reshaping the $3.6 trillion cryptocurrency industry.

This shift aims to enhance consumer protection and market stability, significantly impacting assets like Bitcoin and Ethereum, as well as the future of cryptocurrency regulation.

Senate Push for CFTC Control Over Digital Assets

The bipartisan proposal, led by Senate Agriculture Committee Chair John Boozman and Senator Cory Booker, introduces a significant regulatory shift from the SEC to the CFTC for the oversight of digital commodities. It seeks to establish a registration system for crypto exchanges and enforce new disclosure rules, transitioning the U.S. crypto regulatory landscape.

This development emphasizes consumer protection and market safety, as noted by Senator Booker. Boozman affirmed that granting the CFTC authority would help create clear rules for the crypto market. The bill also mandates registration and transaction fees for specific activities, potentially impacting smaller exchanges.

“The CFTC is the right agency to regulate spot digital commodity trading. It’s essential to establish clear rules for the emerging crypto market while also protecting consumers.” — John Boozman, Chair, Senate Agriculture Committee

Market reactions indicate anticipation for increased clarity rather than restriction, with industry stakeholders expressing cautious optimism. Acting CFTC Chair Caroline Pham reinforced commitment to establishing the U.S. as a global crypto hub (source).

Crypto Market Stability and Legislative Clarity

Did you know? In the past, U.S. legislative attempts without bipartisan support often struggled. This bill, with backing from both Democrats and Republicans, could significantly redefine the regulatory landscape, potentially paving the way for increased institutional interest and market innovation.

As of November 11, 2025, Bitcoin (BTC) trades at $104,608.55, with a market cap of $2.09 trillion and a circulating supply of 19.95 million, according to CoinMarketCap. Recent price changes include a 1.59% decrease over 24 hours and a 0.73% increase over seven days.

Coincu research forecasts potential increased stability in the crypto space, with CFTC-led regulation enhancing market predictability. Historical trends suggest positive outcomes with increased legislative clarity, easing industry compliance burdens.