The US Commodity Futures Trading Commission is using artificial intelligence to process cryptocurrency registration applications and monitor global trading data, Chairman Mike Selig said. The agency is using Microsoft Copilot and inhouse tools to address a 20% reduction in federal staffing and has issued joint digital asset taxonomy guidance with the SEC.

CertiK, a Web3 security firm, has published its "State of Digital Asset Regulation 2026" report, mapping out global regulatory developments. The report says that by April 2026, major jurisdictions including the U.S., the European Union, Hong Kong and Singapore will have largely rolled out their core frameworks, signaling the sector's shift into broad-based compliance. CertiK identifies anti-money laundering (AML) enforcement as the top regulatory risk, overtaking debates around whether tokens qualify as securities. It estimates global AML-related penalties topped $900 million in the first half of 2025, elevating transaction monitoring to a central compliance requirement. The report also notes that smart-contract security audits are moving beyond best practice toward becoming a prerequisite for licensing and token listings. On stablecoins, CertiK sees regulatory approaches increasingly aligning around principles such as full reserve backing and licensed issuance, while differences between jurisdictions continue to complicate compliance. As rules converge and enforcement tightens, CertiK concludes the industry has entered an "era of strict compliance." The key challenge for firms is no longer whether to comply, but how quickly they can build and operationalize compliance capabilities. Multi-jurisdiction licensing, AML investment and ongoing security audits are becoming baseline requirements for institutional-scale growth. (Source: Foresight News)

State Street plans to begin offering tokenized fund servicing from its Luxembourg operations by the end of the year.

April 28 — CFTC Chairman Mike Selig said the U.S. derivatives regulator is turning to artificial intelligence and automation to offset staffing shortages after cutting more than one-fifth of its workforce. Selig said the technology push aligns with President Trump's broader efforts to shrink the federal workforce and is aimed at improving how the agency processes registration filings and conducts market surveillance as the CFTC positions itself as a leading U.S. regulator in the crypto sector. He noted that the current registration workflow relies heavily on manual document submissions. "We are building a system to automate it, making it much more efficient," Selig said. He added that AI tools can review applications, flag issues for staff, accelerate feedback, and reject filings that are clearly incomplete. According to Selig, AI can identify missing information, inadequate descriptions, or obvious errors, allowing the agency to reject submissions outright or move them to the back of the queue. Selig has led the CFTC for four months and has pushed the agency to expand oversight of emerging areas such as cryptocurrencies and prediction markets. His approach to prediction markets—focused on firms including Kalshi, Polymarket, Crypto.com, Coinbase, and Gemini—has drawn controversy, particularly as he argues the CFTC is the sole relevant regulator. That stance has put the agency in conflict with state governments pursuing the companies for alleged violations of state gambling laws, especially tied to sports betting. Selig has sued multiple states to defend the CFTC's "exclusive jurisdiction," most recently New York.

The U.S. Commodity Futures Trading Commission (CFTC) is rolling out artificial intelligence tools to help review crypto registration applications and monitor trading data, according to Chairman Michael Selig. The agency is looking to maintain oversight capacity as it adjusts to staff reductions of more than 20% under the Trump administration.

According to CoinDesk, the U.S. Securities and Exchange Commission has reaffirmed XRP's status as a digital commodity in its latest 2026 cryptocurrency guidance, clarifying its federal regulatory treatment and opening the door to broader institutional and market opportunities. The guidance aims to draw a cleaner line between crypto assets treated as securities and those considered digital commodities. Under the SEC's interpretive framework, digital commodities are tokens used to access or participate in an active crypto ecosystem, with value supported not only by market demand but also by the network's practical utility. Designation as a digital commodity would ease XRP's regulatory burden compared with securities, which face stricter SEC requirements such as registration, ongoing disclosures, and greater enforcement exposure. Commodity spot markets, under frameworks comparable to those overseen by the U.S. Commodity Futures Trading Commission, are generally subject to lighter regulation. For Ripple and the XRP ecosystem, the distinction reduces legal uncertainty and long-running compliance pressure. Market participants view the SEC's clearer stance as supportive for adoption, as exchanges and institutional investors often require regulatory certainty before expanding listings or deploying crypto for custody, settlement, or liquidity operations. The update removes a key obstacle that has slowed XRP's integration with traditional financial institutions. In the 2026 guidance, the SEC places XRP in the same digital-commodity category as Bitcoin (BTC), Ethereum (ETH), Solana (SOL), Cardano (ADA), Avalanche (AVAX), Chainlink (LINK), Litecoin (LTC), Dogecoin (DOGE), Polkadot (DOT), Stellar (XLM), Hedera (HBAR), Tezos (XTZ), Bitcoin Cash (BCH), Shiba Inu (SHIB), and Aptos (APT). The inclusion underscores regulators' growing recognition of decentralized, network-driven value models. The framework also builds on earlier SEC-CFTC coordination. In March, XRP was determined to be a digital commodity, setting the stage for the current approach. The legal overhang has also eased: the lawsuit between Ripple and the SEC concluded in August last year, removing a major source of uncertainty. With the litigation behind it and the classification clarified, XRP is positioned for a period defined more by regulatory certainty, institutional participation, and real-world utility than courtroom risk.

POLICY: Rep. Nick Begich said he intends to reintroduce legislation to establish a U.S. Strategic Bitcoin Reserve in the coming weeks, renaming the proposal the "American Reserves Modernization Act".

The U.S. Securities and Exchange Commission has requested public feedback on a NYSE Arca proposal that would require crypto exchange-traded funds seeking to list on the venue to meet an "85% eligible-asset" standard.

A South Korean court has granted Coinone temporary relief, suspending the Financial Intelligence Unit's (FIU) partial business ban until May 29. The Seoul Administrative Court issued the order on April 25, 2025, pausing the FIU's enforcement measures that included a 5.2 billion won fine and a three-month partial suspension. The court stressed the move is provisional and does not decide the merits of the dispute, but allows time for full judicial review. The FIU, which operates under the Financial Services Commission (FSC), announced the sanction on April 13, 2025. Regulators said Coinone violated the Act on Reporting and Using Specified Financial Transaction Information, citing alleged failures to report suspicious transactions and shortcomings in customer due diligence. The partial suspension was set to begin April 29 and would have barred new customers from transferring virtual assets, a restriction that could have sharply curtailed user growth. The 5.2 billion won penalty (about $3.9 million) ranks among the largest levied against a South Korean crypto exchange. While existing users would have remained unaffected, the curbs on new customer onboarding were expected to weigh on growth and competitiveness. In granting the stay, the court pointed to potential irreparable harm to Coinone, possible procedural defects in the FIU's process, and broader public-interest considerations, including the risk of market disruption and damage to consumer confidence. Coinone may continue normal operations, including onboarding new users, while the case proceeds. The decision is being closely watched across the domestic crypto sector as the FIU steps up enforcement actions. Market participants see the outcome as potentially shaping how future regulatory penalties are challenged in court and how aggressively the FIU pursues sanctions. Key dates: - April 13, 2025: FIU fines Coinone 5.2 billion won and orders a three-month partial business suspension. - April 25, 2025: Seoul Administrative Court grants a temporary suspension of the FIU measures. - April 29, 2025: Planned start date for the suspension, now blocked by court order. - May 29, 2025: Current expiry of the temporary suspension, pending any extension or further ruling. Legal observers described the order as a meaningful procedural check on regulatory power, while noting it is not a determination on wrongdoing. For users, trading continues as normal and new accounts can be opened during the suspension period. The core legal dispute remains unresolved, and Coinone could still face restrictions later if the FIU penalty is ultimately upheld. Disclaimer: The information provided is not trading advice, Bitcoinworld.co.in holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decisions.