Joint Request for Comment on Further Definition of “Swap” and “Security-Based Swap” and on Alternative Compliance
The CFTC and SEC are requesting public comment on redefining 'swap' and 'security-based swap,' which could expand the definition to include certain crypto derivatives and DeFi products, potentially triggering new reporting and compliance requirements under the Dodd-Frank Act.
Aforeworn detected this change in the Crypto & DeFi Tax Reporting space on July 5, 2026 and published this briefing so affected operators are forewarned rather than caught off guard. It is rated Medium urgency. Crypto exchanges/brokers, DeFi protocols, high-volume traders, accounting firms should confirm how it applies to their specific situation before acting. There is a time constraint attached: Comment period ends 60 days after publication in Federal Register (approx. August 23, 2026).. Acting after that point can mean penalties, a lapsed licence, or lost eligibility — exactly the kind of surprise Aforeworn exists to prevent. Aforeworn monitors Crypto & DeFi Tax Reporting continuously and turns every detected change into a plain-English briefing like this one, so you always know first. Forewarned is forearmed.
What changed
The definition of 'swap' may be expanded to cover crypto derivatives and DeFi instruments, subjecting them to CFTC/SEC oversight and reporting.
Who it affects
Crypto exchanges/brokers, DeFi protocols, high-volume traders, accounting firms
What you must do
Submit comments to the CFTC/SEC by the deadline to influence the rulemaking; begin assessing whether current products could be reclassified as swaps.
Deadline
Comment period ends 60 days after publication in Federal Register (approx. August 23, 2026).
Never miss a change like this again
Aforeworn watches Crypto & DeFi Tax Reporting around the clock and alerts you the moment a rule moves — with a plain-English brief on what to do.
Start your free trialRelated changes in Crypto & DeFi Tax Reporting
- Federal Reserve Board issues enforcement action with former employee of Manufacturers and Traders Trust Company
- Federal Reserve Board's annual bank stress test confirms that large banks are well positioned to weather a severe recession and able to continue to lend to households and businesses
- Request for Information: Identifying Regulations To Facilitate Innovation and Competition to Financial Products and Services for Fintech Firms
- ASIC extends no-action position for digital asset businesses to 30 September 2026 - Global Regulation Tomorrow
- SEC Proposes Rescission of Regulation NMS Rules 611 and 610(e)