With Michael Selig sworn in as the new cftc chairman, Washington sends a clear signal that crypto regulation may soon take a more structured and predictable turn.
Selig confirmed to lead the CFTC
The U.S. Senate has confirmed Michael Selig as the new chairman of the Commodity Futures Trading Commission in a closely watched vote. On the floor, senators approved his nomination by a 53–43 margin, putting a pro-crypto legal expert in charge of one of America’s most influential financial regulators.
Moreover, Selig’s arrival at the CFTC marks a significant change in U.S. crypto oversight, as he has previously argued for clear distinctions between digital assets and the transactions built around them. His confirmation is already drawing intense interest from the XRP community and broader crypto markets.
Selig’s 2023 comments on XRP and securities law
In 2023, following Judge Analisa Torres‘ landmark ruling in the Ripple case, Selig publicly weighed in on the legal nature of XRP. He stated that XRP is “just code, like gold or whiskey,” stressing that the token itself should not automatically fall under securities laws, even if certain sales might.
That said, Selig emphasized that XRP can still be sold in ways that bring it within the scope of securities regulation. He argued that while transactions may trigger securities law implications, the underlying token is not, by its nature, a security. This reasoning closely aligned with Ripple’s defense and the court’s interpretation in the high-profile dispute.
He also pushed back on a widespread misreading of Judge Torres’ decision. “Continue to hear commentators saying Judge Torres held that XRP is a security when sold to institutions and not a security when sold to retail. This is incorrect. Judge Torres held that XRP itself is not a security, but it can be sold as part of a security,” Selig explained, underscoring how legal status hinges on the overall deal structure.
Furthermore, Selig clarified that assessing whether a crypto transaction touches securities law depends on how specific deals are organized, not on the mere existence of a token. “A commodity can be sold as part of an investment scheme, but that does not make the commodity itself a security,” he said, effectively placing XRP within a commodity-style framework for many uses.
Why Selig’s leadership at the CFTC matters for crypto
As Selig steps into his role as cftc chairman, the industry is watching for a potential shift in how the regulator approaches digital assets. His leadership could result in less regulatory uncertainty for crypto businesses operating in the U.S., especially those dealing with tokens viewed as commodities rather than securities.
Moreover, market participants expect clearer commodity-based rules for digital assets, including guidance on when token sales might cross into securities territory. Under Selig, observers anticipate a move away from purely aggressive enforcement and toward more transparent oversight, with rules designed to be applied consistently across similar products.
This change at the top adds to an ongoing cftc leadership change narrative in Washington. Former acting CFTC chair Caroline Pham, a long-time crypto advocate, recently joined MoonPay to lead its legal and policy strategy. Her move reinforces the perception that U.S. agencies and fintech firms are seeking more constructive engagement on digital asset regulation.
Implications for XRP and the wider crypto market
While a single appointment will not instantly rewrite U.S. rules, Selig’s confirmation is a strong signal for those seeking crypto regulatory clarity. His prior comments supporting the idea of an xrp commodity ruling suggest a willingness to distinguish between tokens and the fundraising schemes built on top of them.
However, any immediate market impact will likely be limited as formal policy shifts require time, consensus and often new rulemaking. Traders and companies will nevertheless watch closely to see whether Selig’s CFTC pursues more guidance-driven approaches, providing detailed frameworks instead of case-by-case crackdowns.
As the new chairman settles in, the crypto community will scrutinize how U.S. regulation evolves and whether other digital assets might gain similar clarity under the CFTC. In this context, Selig’s track record on the Ripple case and his nuanced view of token classification could prove pivotal for the next phase of American crypto policy.
In summary, Michael Selig’s Senate-backed rise to the helm of the CFTC marks a potentially transformative moment for digital asset regulation in the United States, with markets awaiting concrete steps that match his pro-clarity stance.
Source: https://en.cryptonomist.ch/2025/12/19/cftc-chairman-selig/
