CFTC chairman interprets new rules: Only federally regulated crypto trading platforms can provide leveraged trading, but 100 times leverage will not be allowed

Yesterday, CNBC interviewed Michael Selig, Chairman of the U.S. Commodity Futures Trading Commission (CFTC), who revealed that the new proposed rules would limit leveraged trading rights. Under the rule, only federally regulated cryptocurrency trading platforms can conduct leveraged business, while states are only authorized to provide money transfer services. He pointed out in particular that 100-fold leveraged transactions common abroad have never been allowed in the United States, and this move will continue to be banned. Previously, the CFTC proposed two new regulations on Monday, aiming to build a cryptocurrency market framework by exercising regulatory authority over leveraged and margin trading to deal with the regulatory vacuum created by Congress that has not yet completed relevant legislation.