KuCoin-U.S. CFTC settlement faces setback amid policy shift

A proposed settlement between crypto exchange KuCoin and the U.S. Commodity Futures Trading Commission (CFTC) is likely to face delays, reportedly due to a shift in policy that has deprioritized crypto enforcement actions under President Donald Trump. This update comes from Cointelegraph, citing a Law360 report. On April 21, CFTC attorney John Murphy informed Judge Valerie Caproni in a letter that the agency is unlikely to approve the settlement anytime soon. The CFTC requires a majority vote from its commissioners to dismiss a case or approve a settlement. However, with the panel currently split—two Democrats and two Republicans—such approval appears difficult to secure. The deadlock may be resolved if Brian Quintenz, a Trump nominee, is confirmed to lead the commission. This outlook comes after the CFTC filed charges against KuCoin in March 2024 for alleged violations of the Commodity Exchange Act. Both sides had reached a settlement agreement in principle back in December.