This is Future Proof, the CFTC's plan for the US to lead the crypto world

Michael Selig has unveiled Future Proof, an initiative designed to eliminate 70s regulations and implement customized frameworks that will allow the US to solidify its leadership in the global crypto market.

Selig, who took over as chairman of the U.S. Commodity Futures Trading Commission on December 22, has taken the reins of the agency with a vision that seeks to radically transform the digital financial landscape in the United States. 

In his first month in office, he has presented a strategic plan focused on cryptocurrencies, which includes the creation of the Innovation Advisory Committee and, more recently, the launch of Future Proof, an initiative that marks a definitive break with the conventional supervisory methods that had been applied to the crypto market until now. 

The vision that seeks to modernize the rules for the crypto ecosystem

Michael Selig's new proposal is based on the premise that the current regulatory system requires a thorough overhaul to avoid hindering the technological advancements represented by digital assets and blockchain infrastructure. The central objective of the current US administration, with which Selig aligns himself, is to establish a regulatory environment of clarity that allows local cryptocurrency companies to compete on a level playing field in the market, eliminating the barriers that have thus far limited the sector's expansion.

Based on this, it is presented Future ProofThis initiative represents a commitment by the agency to adapt its functions to the realities of the 21st century. Selig maintains that the agency is charting an unprecedented course where the priority is modernizing processes and ensuring transparency in the application of regulations. Under his leadership, the institution is preparing to absorb new powers that could be granted by Congress, positioning the nation as a nerve center for the economy of the future. 

This change in mindset at one of the country's most important financial regulators suggests that the agency will move from being a spectator to becoming a facilitator of the digital financial ecosystem, prioritizing efficiency and innovation over bureaucratic procedures inherited from previous eras.

The end of agricultural regulations in the blockchain era

The core of the Future Proof proposal lies in recognizing a historical inconsistency: the CFTC has attempted to regulate high-tech financial instruments using regulations designed in the 1970s for the trading of corn, wheat, and soybeans. Selig has described this approach as functionally obsolete, considering that the rules designed for the physical delivery of raw materials and traditional market hours are incompatible with the immediate, global, and programmable nature of cryptocurrencies and decentralized finance (DeFi).

However, the CFTC's new initiative seeks to replace that outdated framework with a flexible regulatory structure based on the principle of minimum effective doseIn other words, instead of imposing uniform regulations, the idea is to create guidelines tailored to the technical characteristics of each asset or platform. This aims to reduce the bureaucratic burden that stifles innovation and provide companies with a clear roadmap outlining their obligations and responsibilities.

Selig also proposes a change in mindset within the public sector. The administration believes that government must keep pace with the technology sector. Therefore, updating outdated regulations would allow efforts to be focused on specific threats, such as fraud or price manipulation, moving away from the prosecution of technical non-compliance based on... obsolete regulations. 

“Just as U.S. companies are modernizing legacy financial systems by leveraging new technologies, the CFTC must improve its approach to unleashing innovation.”, said Selig. 

For him, this modernization aims to strengthen the competitiveness of the US ecosystem, encouraging developers to build and launch their projects within the country instead of seeking refuge in jurisdictions with more accessible regulations.

Derivatives, AI, and tokenization on the US crypto market roadmap

Selig's strategy seeks to expand the boundaries of the digital financial market beyond traditional cryptocurrencies like Bitcoin or Ethereum. His proposal focuses on legitimize and expand prediction markets and complex derivativesThese are areas that for years faced regulatory uncertainty or open resistance from authorities. Today, under the Future Proof doctrine, these tools are beginning to be seen as useful mechanisms for managing risks and extracting valuable economic information.

The Commodity Futures Trading Commission has begun licensing platforms that previously operated outside the system, a move the financial sector interprets as a sign of openness. The agency acknowledges that innovation in derivatives not only boosts market competitiveness but also strengthens its maturity. Allowing these products to develop within a robust regulatory framework opens the door to a new phase of institutional and retail participation, with greater confidence and legal backing.

Ultimately, this entire change of course taking place at the CFTC and the country's main agencies aims to position the United States in the global competition for leadership in digital assets. 

Selig argues that the dollar's supremacy and the influence of the U.S. financial system will depend on its ability to adopt and manage technological innovation. From this perspective, the CFTC is preparing to assume greater regulatory responsibilities in a landscape where artificial intelligence, the tokenization of real-world assets, and decentralized predictive models converge. Its goal now is to ensure that the country remains a leader in the secure and strategic integration of digital finance.