CFTC Proposes Crypto Rules to Fill Congress's Gap | CoinDesk Daily

— The CFTC proposed two new rules—Regulation CTX and Regulation CAM—to establish federal oversight of leveraged crypto trading and create a new category of crypto asset exchanges; both rules are open for 60 days of public comment.

— Treasury's Financial Crimes Enforcement Network (FinCEN) withdrew a proposed rule that would have required banks and crypto exchanges to report transfers over $10,000 to self-hosted wallets, a proposal that has been pending since December 2020.

— FinCEN also scrapped a 2023 proposal that would have designated crypto mixers as a primary money laundering concern; both withdrawals are framed as part of the administration's deregulatory agenda.

— The U.S. Treasury sanctioned five parties involved in a six-year fundraising operation that channeled over $2 million to Hamas, including approximately $1.5 million transferred after October 7, 2023.

— Hundreds of thousands of dollars in crypto were sent to a Gaza-based Hamas al-Qassam brigades commander, though Treasury did not specify that the entire $2 million moved through cryptocurrency.

— Monitor the CFTC's 60-day public comment period on Regulation CTX and CAM to understand how federal leverage and margin rules may affect your trading venues and strategies.

— The withdrawal of FinCEN's self-hosted wallet reporting rule and crypto mixer proposal represents a near-term reduction in regulatory compliance burden; track Treasury rulemaking and watch for any reversal under future administrations.