Caroline Pham, the acting chair of the U.S. Commodity Futures Trading Commission (CFTC), has reinforced the agency’s stance that the digital asset industry will not receive softer treatment under the new Trump administration. While the current political climate appears more favourable to crypto innovation, Pham made it clear that the CFTC will not compromise on legal enforcement.
Image 1: CTFC (Source: Finance Magnates)
Regulator Signals No Favouritism for Digital Assets
Speaking during the Coinbase Annual Summit in New York, Pham acknowledged the pro-growth sentiment around crypto. However, she clarified that this support does not translate to relaxed standards. The agency’s role, she noted, remains focused on upholding integrity and applying the law consistently across all market participants, regardless of sector.
Pham addressed the perception that Trump’s return might lead to leniency for digital currencies. She explained that regulatory bodies are still required to act when there are breaches of law, even in a policy environment that encourages innovation. According to Pham, misconduct within the crypto industry, such as fraud or dishonest practices, remains unacceptable, and will not be excused simply because the sector is still evolving.
Legislation Could Expand CFTC’s Oversight
The CFTC is already a key regulator in the financial space, responsible for overseeing the vast derivatives market, which includes financial contracts linked to price movements in assets such as agricultural goods, energy, and currencies. Now, the agency may see its powers extended into crypto more clearly.
Lawmakers in the U.S. have been working on legislation aimed at clarifying the regulatory framework for digital assets. One such proposal, the CLARITY Act, recently passed a key vote in the House Financial Services Committee. If enacted, the law would assign the CFTC responsibility for overseeing the spot markets of cryptocurrencies like bitcoin, provided those assets are not classified as securities.
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Currently, both the CFTC and the Securities and Exchange Commission (SEC) are involved in regulating digital assets, which has led to overlapping jurisdiction and industry uncertainty. The new legislation seeks to address that by clearly dividing responsibilities. It is anticipated that the CFTC would take on a larger role, especially when it comes to regulating digital assets that are not securities, while the SEC would continue to focus on tokens that meet the legal definition of a financial instrument.
Pham acknowledged this potential shift and signalled that the agency is prepared to take on broader duties in this space. She noted that growth in crypto activity requires balanced oversight—encouraging technological progress while maintaining strong enforcement of existing rules.
Change in Leadership Ahead
Caroline Pham, who began her term as a CFTC commissioner in April 2022 and took on the acting chair role in January 2025, has announced plans to step down. She has yet to confirm her next career move but intends to return to the private sector.
Another commissioner, Kristin Johnson, has also confirmed her departure. These exits may leave the CFTC temporarily with a reduced leadership team. However, there is already a candidate lined up to step in.
Brian Quintenz, currently head of crypto policy at venture capital firm Andreessen Horowitz (a16z), is considered the frontrunner to take over. Quintenz previously served as a commissioner at the CFTC and is awaiting confirmation by the Senate. Pham expressed confidence in his track record and indicated her support for his expected appointment.
If confirmed, Quintenz would be in position to guide the CFTC at a critical time, with the agency likely to play a more central role in shaping crypto market oversight under new laws.
Image 2: (Source: Cryptoslate)
Mainstream Growth as a Defence Strategy
In a discussion with Yahoo Finance editor Brian Sozzi, Pham expanded on a previous comment she had made regarding the future of digital assets. She used the term “uberising crypto” to describe a scenario where digital assets become so common and useful that efforts to ban or restrict them would be politically unfeasible.
She likened it to the widespread adoption of ride-sharing services like Uber, which, after becoming a standard part of urban transport, proved too embedded in daily life to be easily reversed. Pham suggested that if crypto reaches that level of public integration, it would gain a layer of political protection.
