CFTC Issues No-Action Letter for Crypto Wallet Provider Phantom

The US Commodity Futures Trading Commission said its Market Participants Division issued a no-action letter in response to a request from crypto wallet provider Phantom Technologies. Under certain circumstances, the letter will prevent the division from recommending enforcement action against Phantom or its staff for failing to register as a broker.

Phantom said the no-action position allows the company to act as a non-custodial interface connecting users to a registered exchange without taking on the regulatory obligations of an introducing broker. The firm said it proactively engaged with the CFTC to seek clarity on offering access to regulated markets through a registered partner rather than building first and seeking forgiveness later.

The regulator noted the response was among the first taken under Chair Michael Selig since his US Senate confirmation in December. Selig and former CFTC acting chair Caroline Pham previously led the commission as it issued no-action letters for crypto platforms, including Polymarket and Binomial.

United States

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