CFTC Jurisdiction

Definition ∞ CFTC jurisdiction refers to the regulatory authority of the Commodity Futures Trading Commission within the United States. This authority primarily extends over derivatives markets, including futures and options, and increasingly encompasses certain digital assets deemed to be commodities. Understanding this scope is vital for discerning which crypto-related activities fall under federal oversight.
Context ∞ Discussions regarding CFTC jurisdiction in the digital asset space are particularly active, with ongoing debates about whether specific cryptocurrencies and decentralized finance protocols constitute regulated commodities. Regulatory bodies are actively assessing their existing frameworks to address the unique characteristics of these novel financial instruments. This evolving landscape directly impacts market participants and the development of compliant digital asset services.