New Delhi, Oct. 6 -- The US commodities regulator, the Commodity Futures Trading Commission (CFTC), on Monday proposed a new federal regulatory framework for cryptocurrency exchanges offering leveraged digital asset trading, aiming to bring parts of the spot crypto market under federal supervision. The move comes weeks after Congress failed to make progress on broader cryptocurrency legislation.

Under the proposal, US crypto exchanges would be able to opt into a federal regulatory regime rather than primarily operating under a fragmented system of state-level money-transmitter licences, the regulator said.

The proposed framework relies on the CFTC's existing authority to oversee margined and leveraged spot assets. The agency has for yea...