CFTC Chairman Selig says markets must prepare for 'mass tokenization'
What CFTC Chair Selig said at the New York Fed
Commodity Futures Trading Commission Chair Michael Selig told attendees at a U.S. Treasury Market conference at the New York Fed that regulators need to prepare U.S. markets for "mass tokenization." He said that tokenization, on-chain finance, and 24/7 trading will likely bring more change to financial markets over the next decade than the previous several decades combined.
Selig said the Trump administration has already laid the groundwork by embracing innovation, encouraging competition, right-sizing regulation, and maintaining trust in U.S. markets. He stated that the U.S. will continue to lead in this area.
Key points from the speech
- The CFTC has spent the past year issuing guidance and seeking public comments on 24/7 trading for energy derivatives markets, showing growing interest in round-the-clock markets.
- In February, the CFTC expanded its list of eligible collateral to include stablecoins issued by national trust banks.
- The agency plans to find more ways to encourage responsible stablecoin adoption among market participants, exchanges, and clearinghouses.
What the SEC is doing alongside the CFTC
The Securities and Exchange Commission, the CFTC's sister agency, released its long-anticipated "innovation exemption" last week to allow on-chain trading of tokenized stock. Both agencies are moving forward after a broader bill to regulate the crypto industry stalled in the Senate.
Why this matters
Tokenization refers to turning real-world assets like stocks or bonds into digital tokens on a blockchain. If regulators prepare markets for mass tokenization, it could change how financial assets are issued, traded, and settled. The CFTC and SEC are both working to shape rules for this shift even as Congress has not yet passed a comprehensive crypto law.
What is confirmed and what is unclear
Confirmed: Selig made these remarks at the New York Fed on September 22, 2026. The CFTC expanded eligible collateral to include stablecoins from national trust banks in February. The SEC released its innovation exemption the prior week.
Unclear: The exact timeline for any new CFTC rules on tokenization or 24/7 trading was not specified. How quickly mass tokenization would be adopted in U.S. markets also remains uncertain.
Sources
Newisty Editorial Team covers technology, cryptocurrency, digital products, online platforms, developer tools and the wider digital economy. Our content is researched from official sources, company announcements, public documentation, market data and other primary or reputable sources. Articles are reviewed and edited before publication for clarity, accuracy and useful context.