CFTC updates tokenised asset guidance after CLARITY Act vote fails

Key points

• The CFTC updated its March FAQ guidance for registered crypto-related entities on Thursday.
• Authorized firms may invest customer funds in tokenised assets with equivalent legal and economic rights.
• The regulator said it would not object to blockchain-based recordkeeping under the new rules.
• The change followed a failed Senate cloture vote on the Digital Asset Market Clarity (CLARITY) Act.
• SEC Chair Paul Atkins has said the agency is ready to propose crypto rules without Congress.

The US Commodity Futures Trading Commission has updated its guidance on tokenised assets and the use of blockchain technology for recordkeeping, according to a Thursday notice reported by Cointelegraph. The change affects registered crypto-related entities covered by the regulator's frequently asked questions.

The guidance, first released in March, now states that authorised companies may invest customer funds in tokenised forms of assets. This applies where the tokenised form gives the holder legal and economic rights that are the same as, or functionally equivalent to, those held by owners of the asset in its traditional form. The CFTC added that it would not object to companies using blockchain-based recordkeeping under the new rules.

CFTC Chair Michael Selig described the changes as part of efforts to provide regulatory clarity for the crypto industry. He did not say the failed vote on the CLARITY Act was the reason for the new rules for authorised crypto entities.

CFTC clarifies tokenised assets

The update came days after the US Senate failed to advance the Digital Asset Market Clarity (CLARITY) Act. That bill was expected to clarify the roles the CFTC and the Securities and Exchange Commission would play in overseeing digital assets. With the failed cloture vote, many expect Congress will not pass crypto market structure legislation before 2027.

That expectation has pushed regulators to advance their own policies through rulemaking. The CFTC has already submitted a crypto market regulation plan for the White House to review.

SEC Chair Paul Atkins echoed the commodities regulator before the CLARITY vote, saying the agency was ready, willing and able to propose rules on crypto in the absence of congressional action. The SEC proposed rules on certain investment contracts involving crypto assets in August.

Senate blocks CLARITY Act

The guidance matters because it gives registered firms more certainty on how customer funds and records can be handled while broader market structure legislation remains stalled. It also signals that US regulators intend to shape crypto oversight themselves rather than wait for Congress.

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