**US Senate Agriculture Committee Drafts Bill to Regulate Cryptocurrency Asset Market**
The US Senate Agriculture Committee has introduced a new draft bill aimed at regulating the cryptocurrency asset market. This early-stage proposal focuses on defining the Commodity Futures Trading Commission’s (CFTC) authority over digital commodities. Before becoming law, the bill must undergo committee review, be reconciled with the Senate Banking Committee, and then voted on in both the Senate and the House of Representatives.
A key provision of the draft bill officially designates Bitcoin (BTC) and Ethereum (ETH) as “digital commodities.” As a result, these assets fall under the direct jurisdiction of the CFTC, rather than being categorized as securities. Industry analysts predict this move could lead to a two-tiered market structure: regulated tokens attracting institutional investment, while unregulated tokens remain at the market’s margins.
The proposed legislation positions the CFTC as the primary regulatory authority over both spot and derivatives markets for digital assets. This would place spot cryptocurrency trading under a federal framework, mirroring oversight already present in the futures market. Notably, the Securities and Exchange Commission (SEC) is absent from the draft bill—a decision some commentators interpret as a reaction to the agency’s previously “overly interventionist” stance.
Under the bill, crypto companies would be required to separate their exchange, brokerage, custodian, and trading desk operations. This regulation is specifically designed to end “all-in-one” business models like that of FTX. The draft mandates that customer assets be held exclusively by qualified custodians regulated at federal or state levels.
Registered cryptocurrency exchanges would only be permitted to list digital assets deemed “not susceptible to manipulation.” This provision is expected to make it particularly difficult to list memecoins and aims to reduce scams such as “rug pulls.” Brokerage firms would also be required to comply with CFTC registration, independent auditing, and anti-money laundering and terrorist financing standards. Industry experts caution that many tokens currently listed on major exchanges, such as Coinbase, may not meet these new requirements.
The bill postpones regulation of decentralized finance (DeFi) platforms to future legislative efforts. Stablecoins, however, are addressed separately under the “GENIUS Act.” Tax regulations remain unchanged; digital commodities will continue to be taxed as “property” by the IRS.
*This article does not constitute investment advice.*
https://bitcoinethereumnews.com/bitcoin/new-major-bill-ready-for-bitcoin-and-cryptocurrencies-in-the-us-significant-changes-on-the-way/
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