🏦 New Crypto Regulation Proposal
On May 5, 2025, key Republican members of the U.S. House of Representatives introduced a discussion draft aimed at establishing a comprehensive regulatory framework for digital assets. This proposal seeks to delineate the responsibilities of the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC) in overseeing various types of digital assets.
Key provisions include:
Regulatory Clarity: Digital assets with centralized control exceeding 10% would fall under SEC jurisdiction, while decentralized assets would be regulated by the CFTC.
Secondary Market Transactions: The draft clarifies that buying or selling digital commodities on secondary markets does not automatically subject them to securities laws unless they confer ownership rights or claims on profits.
Retail Investor Access: The proposal removes certain wealth thresholds, potentially broadening retail investor participation in digital asset markets.
A joint hearing by the House Financial Services and Agriculture Committees is scheduled to discuss this draft further. However, opposition from some Democratic members, citing concerns over potential conflicts of interest and regulatory gaps, may influence the bill's progression.