Two of crypto’s more prominent names just told the CFTC, politely but firmly, that writing code shouldn’t require a federal license.
The Hyperliquid Policy Center and Phantom Technologies submitted a joint comment letter to the Commodity Futures Trading Commission on July 9, responding to the agency’s Request for Information on fintech regulations. The core argument: developers who publish onchain protocol software shouldn’t be forced to register as Designated Contract Markets, Futures Commission Merchants, or any other regulated entity simply because their code exists.
What they’re actually asking for
The letter lays out three specific requests, and each one targets a different friction point in how current rules collide with onchain infrastructure.
First, they want the CFTC to confirm that developing and publishing onchain protocol software, by itself, does not trigger registration requirements. In English: if you build a smart contract that enables derivatives trading, you shouldn’t be treated the same as JPMorgan’s futures desk.
