CFTC Issues No-Action Position for Passive Trading Software Providers

The U.S. Commodity Futures Trading Commission's Market Participants Division has issued a no-action position statement for passive trading software providers. According to Foresight News, the statement is similar to the position outlined in Staff Letter No. 26-09 and now applies broadly to such providers. Under specific conditions, the division said it will not recommend enforcement action solely because the relevant service provider and related persons are not registered as introducing brokers or associated persons. The position covers only activities involving the provision and promotion of software that facilitates trading with registered futures commission merchants, introducing brokers, and designated contract markets. Staff Letter No. 26-09 previously applied to the crypto wallet Phantom.