The U.S. House of Representatives has issued a new draft regulation for the structure of the digital asset market, aiming to create a clear regulatory framework for cryptocurrencies to protect consumers and promote innovation. The draft proposes classifying decentralized digital assets as commodities under the jurisdiction of the Commodity Futures Trading Commission (CFTC), while the Securities and Exchange Commission (SEC) retains jurisdiction over assets considered securities.

The draft includes a decentralization test, disclosure requirements for digital asset developers, self-custody rights, and protections for decentralized finance (DeFi) users. It also seeks to simplify access to investment opportunities in crypto assets and eliminate the need for accredited investor checks.

A joint hearing is scheduled to discuss the draft, but the bill is expected to face opposition from Democrats.