New Draft Bill for Crypto Regulation Circulated in U.S. Senate
Lawmakers within the Senate Banking Committee have circulated a fresh draft of the cryptocurrency market structure bill, which aims to set regulatory frameworks for crypto trading in the U.S. Private discussions about the bill aim to provide additional protections for developers involved in creating and distributing digital assets, alongside guidelines related to bankruptcy for certain asset issuers.
Key Features of the Draft
- The bill expands on creating protections for individuals developing or managing decentralized finance systems.
- It also includes sections adjusting current bankruptcy laws to better address issues surrounding digital commodities.
- A joint study by the SEC and CFTC regarding the tokenization of securities is also included, intending to set standards for the management of tokenized assets.
Legislative Progress
Despite significant achievements in the House, such as the passing of the Digital Asset Market Clarity Act, the Senate is anticipated to take the lead on these regulatory structures. The newly drafted version contains enhanced protection language for developers, recognized as vital by many industry advocates.
Image Source: Sen. Tim Scott
While the draft is now available for review, the political landscape remains uncertain given the need for bipartisan support to proceed. If it progresses through the Senate, it also faces further approval in the House before becoming law.
