CFTC scraps no-deny rule as crypto enforcement shift deepens

The U.S. Commodity Futures Trading Commission has rescinded its long-running "no-deny" policy for enforcement settlements. The rule, adopted in 1998, blocked the agency from accepting settlement offers when a defendant continued to deny allegations in a complaint or administrative order. CFTC eliminates "no-deny" policy for settlements, aligning with the SEC approach. Chairman Selig states this offers greater flexibility in enforcement actions. — Markets News (@MarketsDotNews) June 4, 2026

The CFTC said the old policy may have created the view that the agency wanted to "shield itself from criticism." Chairman Michael Selig said the Commission had used the rule for nearly three decades and was now moving "consistent with regulators throughout the government."

SEC move set the recent precedent

The decision follows a similar shift at the U.S. Securities and Exchange Commission. The SEC removed its own no-deny settlement rule in May, ending a policy first adopted in 1972 that limited public denials after enforcement settlements. According to recent crypto.news reporting, SEC Chair Paul Atkins said that change ended a restriction on criticism of the agency. SEC Commissioner Hester Peirce also argued that allowing both sides to speak openly would support clearer enforcement records.

Crypto cases add fresh context

The CFTC decision comes as U.S. market regulators review parts of their crypto enforcement approach. Crypto firms have long criticized no-deny language, arguing that settlement terms forced