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Code · BILL · 117th Congress · S. 4356 (Introduced in Senate) — To provide for responsible financial innovation and to bring digital assets within the regulatory perimeter. · Sec. 407

Sec. 407. Bankruptcy treatment of digital assets

500 words·~2 min read·/bill/117/s/4356/is/section-407

A research copy — for the controlling text, always check the official state or federal source. Not legal advice.

Section 20(a) of the Commodity Exchange Act ( 7 U.S.C. 24(a) ) is amended in paragraphs
(1)and
(2)by inserting digital assets, after securities, each place it appears. Section 101(6) of title 11, United States Code, is amended by inserting registered digital asset exchange, as defined in section 1a of the Commodity Exchange Act, before foreign . Section 556 of title 11, United States Code, is amended by inserting a registered digital asset exchange, as defined in section 1a of the Commodity Exchange Act, before a contract . Section 561 of title 11, United States Code, is amended by inserting registered digital asset exchange, as defined in section 1a of the Commodity Exchange Act, after designated under the Commodity Exchange Act each place it appears. Section 761 of title 11, United States Code, is amended— in paragraph (4)— in subparagraph (A), by inserting digital asset or a before commodity ; in subparagraph (I), by striking or at the end; in subparagraph (J), by adding or at the end; and by adding at the end the following: a contract for the sale of a digital asset by a registered digital asset exchange; ; and in paragraph (10)— in the matter preceding subparagraph (A)— by inserting a digital asset, after a security, ; and by inserting digital asset, after cash, security, ; in subparagraph (A)— in clause (vi), by inserting a digital asset, after a security, ; and in clause (vii)— by inserting or a digital asset before held as property ; by inserting or digital asset after such security ; and by inserting or digital asset after based on a security ; and in subparagraph (B)— by striking not including property and inserting “not including— property ; in clause (i), as so designated, by adding and at the end; and by adding at the end the following: money, assets, or property with respect to which any requirement under subsection
(i)of section 4d of the Commodity Exchange Act ( 7 U.S.C. 6d ) is waived pursuant to paragraph
(3)of that subsection, or any requirement under subparagraph
(B)of paragraph
(4)of section 5i(d) of that Act is waived pursuant to subparagraph
(E)of that paragraph; . Section 764(b)(1) of title 11, United States Code, is amended by inserting , digital assets before , or other property . Section 766 of title 11, United States Code, is amended— in subsection (b)(1), by striking physical commodity underlying and inserting commodity underlying ; in subsection (c), by inserting digital asset, before or commodity contract each place the term appears; in subsection (d), by inserting digital asset, before or commodity contract each place the term appears; in subsection (f)— in striking and other property and inserting digital assets, and other property ; and by striking or property and inserting , digital assets, or property ; in subsection (g), by striking security or property and inserting security, digital asset, or property ; and in subsection (h)(2), by inserting digital assets, after customer securities, .
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