Launchy Regulatory Roundup #52 - SEC and CFTC Align on Crypto
Is FBOT a Dead End for Crypto?
Marco Manoppo & Muhammad Reynaldi Ariananda Arkiang
September 07, 2025
📢 Sponsor | 💡 Telegram | 📰 Past Editions
Good Morning.
Welcome to our 52nd edition of the regulatory roundup. If you know anybody who would benefit from this content, please help us spread the word!
In Today's Edition:
Headline: SEC and CFTC Align on Crypto 🤝
Global Legal Roundup
Case Study: Is FBOT a Dead End for Crypto? 🔎
You read and share. We listen and improve. Send us feedback at [email protected].
For daily market updates and airdrop alphas, check out our telegram!
HEADLINE
SEC and CFTC Align on Crypto
State of play: US regulators are signaling a coordinated shift on crypto oversight.
First, the SEC and CFTC announced a September 29 roundtable to discuss 24/7 markets, event and perpetual contracts, DeFi, and innovation exemptions.
Second, they released a joint statement exploring the idea of always-on capital markets, noting both the opportunity and risks of aligning US trading with global, around-the-clock flows.
Finally, they clarified that registered US exchanges like NYSE and Nasdaq can list certain spot crypto assets, a move that could bring BTC, ETH, and more directly into mainstream venues.
What’s Next: Major US exchanges could move quickly to list BTC and ETH spot once frameworks are finalized.
Why it Matters: These steps mark the clearest sign yet that the turf wars are giving way to harmonized frameworks aimed at pulling crypto innovation back onshore.
Our Take: This is the strongest sign yet that the SEC and CFTC are ready to end turf battles. If they deliver on harmonization, the US could reassert itself as the center of regulated crypto markets.
GLOBAL LEGAL ROUNDUP
America:
🇺🇲 CBDC debate continues in US as Congress returns from recess.
🇺🇲 US Fed to hold conference with focus on stablecoins, tokenization.
🇺🇲 Polymarket can go live in the US following CFTC ruling, CEO says.
🇺🇲 Market structure bill draft proposes SEC–CFTC joint committee.
🇺🇲 Senate crypto bill adds clause to keep tokenized stocks as securities.
Europe:
APAC:
🇯🇵 Japan regulator proposes crypto rule overhaul in line with securities law.
🇰🇷 South Korea caps crypto lending at 20% interest, bans leveraged loans.
🇰🇷 South Korea’s FSC chief nominee faces backlash for calling crypto valueless.
CASE STUDY
Is FBOT a Dead End for Crypto?
State of play: The CFTC’s advisory on using the Foreign Board of Trade (FBOT) framework for offshore exchanges won’t meaningfully attract crypto platforms back to the US, according to Eli Cohen of Centrifuge.
He argues FBOT rules are designed for legacy finance, with settlement and clearing requirements that most crypto exchanges can’t meet.
Only already-regulated foreign exchanges can apply, leaving out platforms based in looser jurisdictions like Seychelles.
Cohen says real clarity will only come from Congress through a dedicated crypto market structure bill.
Our Take: FBOT is a square peg in a round hole for crypto. Until Congress enacts a tailored market structure bill, offshore exchanges will keep avoiding US oversight, leaving the US behind in shaping global crypto liquidity.
Take a peek at our referral reward at the bottom of this issue. Share this newsletter and receive our comprehensive database of crypto regulations around the world👇
NOTEWORTHY READS & MEME
If you enjoy reading this issue, please consider subscribing. It takes 1 minute of your time but it would mean the world to us 🙇
Disclaimer: All the information presented in this publication and its affiliates is strictly for educational purposes only. It should not be construed or taken as financial, legal, investment, or any other form of advice.