$USDC

As of May 16, 2025, the dynamics of cryptocurrency legislation and regulation in the United States are as follows:

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🏛️ Congressional Legislative Progress

Stablecoin Legislation (GENIUS Act and STABLE Act)

• The bipartisan bills, the "GENIUS Act" and "STABLE Act," aim to establish a regulatory framework for stablecoins, including issuer licensing, reserve requirements, anti-money laundering obligations, and consumer protection. 

• Although the "GENIUS Act" failed to pass a critical vote in the Senate, it is expected to be voted on again next week.

Digital Asset Market Structure Bill (FIT21)

• The "Financial Innovation and Technology Act" (FIT21) was passed in the House in May 2024, aiming to clarify the regulatory responsibilities of the Commodity Futures Trading Commission (CFTC) and the Securities and Exchange Commission (SEC) regarding digital assets. 

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🏦 Executive and Regulatory Agency Dynamics

SEC Chair Paul Atkins' Policy Direction

• New SEC Chair Paul Atkins has stated that clear rules will be established to support the registration, issuance, custody, and trading of digital assets, and will consider exemptions for non-security digital assets. 

Department of Justice (DOJ) Enforcement Focus Shift

• The "Blanche Memorandum" issued by the DOJ indicates a shift in enforcement focus toward criminal activities related to digital currencies, such as investor protection, combating terrorism financing, and trafficking, and encourages prosecutors to close investigations that do not align with this direction. 

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🏦 Latest Guidance from Other Regulatory Agencies

Federal Deposit Insurance Corporation (FDIC)

• The FDIC has rescinded the previous requirement for banks to notify in advance before engaging in cryptocurrency-related activities and issued new guidance clarifying that banks may engage in cryptocurrency asset activities under appropriate risk management. 

Office of the Comptroller of the Currency (OCC)

• The OCC issued an interpretive letter confirming that national banks and federal savings associations may provide custody and execution services for cryptocurrency assets under appropriate third-party risk management.