In a rare demonstration of Bipartisanship in Washington, a group of legislators on both sides of the aisle to the House of Representatives presented a bill on Friday to provide a measure of regulatory certainty in the digital asset market. The bill, entitled the Digital asset market deed was sponsored by the president of the Financial Services Committee of the Chamber French Hill (R-Ariz.). The co-sponsors include the president and classification member of the Agriculture Committee, respectively GT Thompson (R-Penn.) And Angie Craig (d-minn.).
The bill would exclude digital products sold via an investment contract by being considered investment contracts themselves. The provision would allow issuers to create digital assets via an intelligent blockchain contract without the asset itself having to comply with the rules governing the investment contract, as long as the sales contract. The bill would also exempt the sales of investment contracts related to digital products from the traditional security registration rule, subject to certain conditions.
Problems would be necessary to certify the Securities and Exchange Commission (SEC) that a blockchain system used compared to a sales offer is mature. The bill orders the dry to carry out a regulation to define the criteria under which a blockchain is considered to be mature and allows brokers, concessionaires and exchanges regulated by the dry to consider blockchain for books and requirements for registration.
In particular, the bill gives the jurisdiction of the SEC on the activity of digital raw materials by brokers and scholarships registered by the SEC which are otherwise exempt from the registration with the Commodity Futures Trading Commission (CFTC). Another provision would create a series of new entities registered with the CFTC called exchanges of digital products, merchants of digital products and brokers of digital products, and gives the commission an exclusive jurisdiction on the cash or punctual markets which occur on or with these entities.
Related: Bipartite consensus on digital asset legislation breaks down on Trump family cryptography transactions
Together, the two provisions bring a measure of clarity to the jurisdictional lines between the two regulators which allowed efforts to create clear rules for investors and cryptographic issuers.
Other provisions in the bill dealt with the recording and operation of alternative trading systems (ATSS) which mainly deal with authorized digital products and / or stablescoins, duty rules for digital assets, registration and regulation of brokers and digital exchanges, as well as the treatment of digital assets by traditional financial institutions.
The bill had a difficult route to this point. A long -term joint audience of financial committees and agricultural committees in early May dissolved in chaos after the Democrats who supported the bill in the past were suddenly opposed to the procedure after reports detailed the cryptographic transactions of President Trump and the Trump family. Several members of each committee left the courtroom and the procedure was hastily redesigned a round table to allow the testimonies to be heard.
“Our bill provides long -awaited clarity to the digital asset ecosystem, favors consumer protection and American innovation, and builds our work in the 118th congress,” said Hill Financial Services President. “I can’t wait to deliver our bill to President Trump’s office and guarantee America’s position as a world leader in digital assets.”
The classification member of the Agriculture Committee, Craig, said that “digital assets, including cryptocurrencies, go from a single and unique financial product to become more and more integrated into our current financial architecture. I think it is essential that Congress establishes clear protections for consumers and retail investors as well as road rules for companies dealing with digital assets. ”
