CFTC Scraps 28-Year “No-Deny” Rule After Gemini Case Reversal

• Commodities regulator ends decades-old bar on denying allegations in settlements
• Policy shift follows industry criticism and SEC’s parallel move

On June 5, 2026, Law.com reported that the US Commodity Futures Trading Commission (CFTC) scrapped its 28-year “no-deny” rule, which had prevented defendants in enforcement actions from publicly disputing the agency’s allegations when settling cases. The CFTC’s decision came a day after the Securities and Exchange Commission rescinded its comparable long-standing policy.

Ending the “no-deny” rule allows the CFTC wider flexibility in settlements with market participants. Chairman Michael Selig said the change would help expedite the return of funds to investors in enforcement cases. The move follows persistent industry criticism, especially from crypto companies, who said the old rule infringed on their free speech rights.

The announcement also arrives amid broader changes in US financial regulation. It closely follows the CFTC’s recent motion to vacate a $5 million settlement with crypto exchange Gemini, reflecting increased scrutiny of existing settlement practices. With the new policy, defendants can publicly deny the CFTC’s allegations as part of their agreements, aligning the agency with the SEC’s updated approach and addressing crypto industry concerns.

Effective June 5, 2026, the rescinded policy was confirmed in a CFTC press release. The commission continues to review impacts on future enforcement actions and settlement agreements involving both commodities and crypto markets.