An Unexpected Force in Crypto Regulation
When Caroline Pham took over as acting chair of the Commodity Futures Trading Commission, many expected her to simply keep the seat warm. But she didn’t behave like a temporary leader at all. Instead, she pushed forward with what she called a “crypto sprint”—a parallel effort to the SEC’s Project Crypto that aimed to reshape how the agency approached digital assets.
Pham, who came from a senior role at Citi, seemed determined to implement the pro-crypto vision outlined in President Trump’s executive orders. She worked for months as the only member of what’s supposed to be a five-person commission, which gave her unusual freedom to make changes. One of her first moves was to halt and reverse enforcement practices that had focused heavily on crypto cases.
Practical Changes and Pilot Programs
Perhaps the most concrete development came in recent weeks, when her agency launched a pilot program allowing crypto assets like bitcoin and ether to be used as tokenized collateral in derivatives markets. Bitnomial was the first to participate, which makes sense given their existing relationship with the agency.
She also moved to eliminate the CFTC’s guidance on how “actual delivery” is defined for digital asset transactions. That might sound technical, but it’s actually quite significant—it clears the way for a more flexible approach that could benefit crypto businesses.
The Retail Leveraged Products Push
As 2025 was ending, Pham achieved what she’d been working toward all year: getting CFTC-regulated platforms to offer retail leveraged spot crypto products. Bitnomial again led the way, launching such trading in December.
This development is interesting because it could reduce pressure on Congress to pass a market structure bill. If the CFTC can already oversee these products through existing authority, maybe there’s less urgency for new legislation. Though I think Congress will still want to clarify things eventually.
Looking Ahead to Leadership Changes
Pham has been open about her plans to return to the private sector once a permanent chair is confirmed. The process hit a snag when Trump’s first choice—former Commissioner Brian Quintenz—was abandoned. Now the nominee is Mike Selig from the SEC, who’s waiting for a final Senate vote.
Throughout her time, Pham consistently said she was trying to help create what Trump promised: a “golden age of crypto.” Whether that happens remains to be seen, but she certainly moved the agency in a more crypto-friendly direction during her tenure.
What’s striking is how much she accomplished as an acting chair. Usually interim leaders just maintain the status quo, but she actively pursued policy changes. It makes me wonder if having fewer commissioners actually made it easier to get things done, despite the obvious challenges of running an agency with so many vacancies.
The crypto industry will be watching closely to see if her successor continues this direction or takes a different approach. Regulatory consistency matters for businesses trying to plan for the future, and all these changes create both opportunities and uncertainties.
