CFTC Clears Path for US Traders to Access Foreign Crypto Exchanges

A few months ago, the United States was driving crypto platforms away like lepers. Since Joe Biden and his regulatory crusaders left the White House, the atmosphere has changed. No more repeated lawsuits, welcome openness. Trump wants to rebuild a crypto stronghold on American soil. For that, the exiles must be called back. And the CFTC is taking care of it. With a new framework, it rolls out the red carpet for them.

An Old Rule Refreshed: The CFTC Brings Back the FBOT to Attract Exchanges

Created in the 90s, the FBOT status was sleeping in the CFTC’s drawers, now revived by Trump who plans to place a crypto expert at its head. The agency returns today to allow American traders to access foreign crypto exchanges. Caroline Pham, acting chair, sets the tone: 

Today’s FBOT advisory provides the regulatory clarity needed to legally onshore trading activity that was driven out of the United States due to the unprecedented regulation by enforcement approach of the past several years.

Under Trump, crypto is welcomed instead of being chased away. And this involves a return to clear rules. No need to become a Designated Contract Market (DCM), a much more restrictive status.

Foreign crypto exchanges like Binance, forced into exile under Biden, can now serve American customers. They just need to be regulated at home. This shift aims to recover the billions of dollars in volumes that have gone elsewhere.

And it is no coincidence. The CFTC receives many requests to return. Pham assures: “Starting now, the CFTC welcomes back Americans that want to trade efficiently and safely under CFTC regulations, and opens up U.S. markets to the rest of the world“.

Crypto Sprint and the Return of Exiles: The CFTC Steps Up Its Game

This change is part of a larger program: the “crypto sprint,” an ambitious legal framework modernization project launched by Trump. Its goal? To fix the damage of the previous term and put the United States back at the center of the game.

Caroline Pham drives the point home:

It’s just another example of how the CFTC will continue to deliver wins for President Trump as part of our crypto sprint.

The lack of clear rules caused a hemorrhage. Result: platforms like Binance.US, inaccessible in many states, trapped Americans in closed gardens.

Pham also plays the transparency card. She announced the adoption of Nasdaq technology to strengthen real-time monitoring.

What to Remember in Numbers and Facts

• Since 1996, FBOT allows foreign platforms to target the US market;
• In 2023, Binance was sanctioned for not registering as a DCM;
• More than 5 public statements from Pham support the return of crypto companies;
• The Nasdaq system now monitors fraud continuously;
• Trump wants to make the United States a Web3 stronghold.

Meanwhile, the SEC drags its feet. While the CFTC paves its way, the other financial watchdog takes its time on XRP, Litecoin and Ethereum ETFs. No clear timetable. No imminent decision. The study progresses at a snail’s pace, leaving the market waiting.