#USHouseMarketStructureDraft On May 5, 2025, House Republicans introduced a draft bill aimed at establishing a comprehensive regulatory framework for digital assets in the United States. This legislation seeks to delineate the responsibilities of the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC) concerning digital assets, providing much-needed clarity in the rapidly evolving crypto space. 

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🧾 Key Provisions of the Draft Bill

• Regulatory Clarity: The bill proposes clear guidelines to determine whether a digital asset should be classified as a security or a commodity, thereby clarifying the jurisdiction between the SEC and CFTC.

• Decentralization Criteria: It introduces criteria to assess the decentralization of blockchain networks, which would influence their regulatory treatment.

• Disclosure Requirements: The legislation mandates that individuals or entities holding more than 1% of a digital asset’s total supply disclose their holdings, aiming to increase transparency and prevent market manipulation. 

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🏛️ Political Dynamics

The introduction of this bill has sparked political debate, particularly among Democrats who express concerns over potential conflicts of interest due to President Trump’s involvement in the crypto industry. Representative Maxine Waters, the ranking Democrat on the House Financial Services Committee, has indicated plans to block a joint hearing on the bill, citing these concerns. 

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🔮 Outlook

While the draft bill represents a significant step toward regulatory clarity for digital assets, its future remains uncertain amid political contention. The ongoing discussions and potential revisions will be crucial in shaping the final legislation and its impact on the crypto industry. 

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