#CryptoClarityAct Crypto Clarity Act Overview
The *Crypto Clarity Act*, formally known as the Digital Asset Market Structure Clarity Act, is a proposed US law aiming to bring regulatory clarity to the cryptocurrency market. Introduced by Representative French Hill, the bill seeks to define the legal status of digital assets and establish clear jurisdictional boundaries between the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC).¹ ²
Key Provisions of the Crypto Clarity Act
- *Regulatory Clarity*: The act aims to provide a clear framework for digital assets, defining their legal status and guidelines for market participants.
- *Jurisdictional Boundaries*: It outlines the roles of the SEC and CFTC in regulating digital assets, with the CFTC becoming the primary regulator for most digital assets.
- *Consumer Protection*: The bill includes measures for consumer protection, market stability, and preventing illicit activities.
- *Innovation and Growth*: By providing clear rules, the act could foster innovation and make the US a more attractive hub for blockchain and crypto innovation.³
Current Status and Considerations
- The bill has passed through key House committees and is headed for a full House vote.
- The Senate's approach to crypto regulation might differ from the House's.
- Critics argue the bill could weaken SEC oversight and enable Big Tech to sidestep investor protections.