FTX’s LedgerX Auction Shows Need for CFTC Clout on M&A: Official

A senior Commodity Futures Trading Commission official says the agency needs the power to approve or reject an unregulated company’s acquisition of a derivatives exchange.

The planned sale of crypto derivatives exchange LedgerX, a solvent piece of Sam Bankman-Fried’s collapsed FTX empire, has raised concerns about the CFTC’s authority over these acquisitions. LedgerX and other parts of the business are being auctioned off as part of the FTX bankruptcy proceedings.

CFTC Commissioner Kristin Johnson, a Democrat, is calling for Congress to give the regulator the power to nix or give the nod on such purchases. Otherwise, it’s left ...