The measure, issued by top Democrats and Republicans on the Senate Agriculture Committee, would give the derivatives regulator exclusive jurisdiction over bitcoin and ether, the two most popular cryptocurrencies, as well as any other crypto products. considered a commodity.
It also required companies providing cryptocurrency platforms to register with the CFTC, including brokers, custodians, and exchanges. That registration would come with requirements to maintain fair prices, prevent market manipulation, avoid conflicts of interest and maintain “adequate financial resources,” according to a description of the bill provided by the senators.
Proponents of the measure, including National Agriculture Committee Chair Debbie Stabenow and Sen. John Boozman, the committee’s senior Republican, argued that it would bring much-needed regulatory clarity to the crypto market. currency by placing much of its control under the responsibility of a single regulator.
“This rapidly growing industry is currently governed largely by a patchwork of state-level regulations. This is simply not an effective way to protect consumers from fraud,” Boozman said in a statement.
The bill joins a growing list of legislation aimed at clarifying the rules around cryptocurrencies, with House and Snat lawmakers working on measures to place safeguards around the march, which has seen significant turbulence. and highly publicized checks in recent months.
Stabenow told reporters that the bill is not intended to cover the entire cryptocurrency market, nor undermine the Securities and Exchange Commission’s ability to police crypto products that function more like securities.
“We are not defining what a security is. I have great faith in Chairman Gensler to be able to use his powers,” she said.
As the window closes for legislative action ahead of November’s midterm elections, Stabenow and Boozman have both insisted they want to push the legislation forward as quickly as possible, without setting a specific timeline.