Sec. 401. Commission jurisdiction over digital commodity transactions
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/bill/118/hr/4763/rh/section-401·A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
Section 2(a)(1) of the Commodity Exchange Act ( 7 U.S.C. 2(a)(1) ) is amended by adding at the end the following: Except as expressly provided in this Act, nothing in the Financial Innovation and Technology for the 21st Century Act shall affect or apply to, or be interpreted to affect or apply to— any agreement, contract, or transaction that is subject to this Act as— a contract of sale of a commodity for future delivery or an option on such a contract; a swap; a security futures product; an option authorized under section 4c of this Act; an agreement, contract, or transaction described in subparagraph (C)(i) or (D)(i) of subsection (c)(2) of this section; or a leverage transaction authorized under section 19 of this Act; or the activities of any person with respect to any such an agreement, contract, or transaction. .
Section 2(c)(1) of the Commodity Exchange Act ( 7 U.S.C. 2(c)(1) ) is amended— in subparagraph (F), by striking or at the end; in subparagraph (G), by striking the period and inserting ; or ; and by adding at the end the following: permitted payment stablecoins. . Section 2(c)(2) of the Commodity Exchange Act ( 7 U.S.C. 2(c)(2) ) is amended— in subparagraph (D)(ii)— in subclause (III), in the matter that precedes item (aa), by inserting of a commodity, other than a digital commodity, before that ; and by redesignating subclauses
(IV)and
(V)as subclauses
(V)and
(VI)and inserting after subclause
(III)the following: a contract of sale of a digital commodity that— results in actual delivery, as the Commission shall by rule determine, within 2 days or such other period as the Commission may determine by rule or regulation based upon the typical commercial practice in cash or spot markets for the digital commodity involved; or is executed with a registered digital commodity dealer— directly; through a registered digital commodity broker; or on or subject to the rules of a registered digital commodity exchange; ; and by adding at the end the following: Subject to sections 6d and 12(e), the Commission shall have exclusive jurisdiction with respect to any account, agreement, contract, or transaction involving a contract of sale of a digital commodity in interstate commerce, including in a digital commodity cash or spot market, that is offered, solicited, traded, facilitated, executed, cleared, reported, or otherwise dealt in— on or subject to the rules of a registered entity or an entity that is required to be registered as a registered entity; or by any other entity registered, or required to be registered, with the Commission. Clause
(i)shall not apply with respect to custodial or depository activities for a digital commodity, or custodial or depository activities for any promise or right to a future digital commodity, of an entity regulated by an appropriate Federal banking agency or a State bank supervisor (within the meaning of section 3 of the Federal Deposit Insurance Act). Clause
(i)shall not apply to a mixed digital asset transaction. A mixed digital asset transaction shall be subject to the exclusive jurisdiction of the Securities and Exchange Commission. A digital asset issuer, related person, affiliated person, or other person registered with the Securities and Exchange Commission that engages in a mixed digital asset transaction, shall, on request, open to inspection and examination by the Commodity Futures Trading Commission all books and records relating to the mixed digital asset transaction, subject to the confidentiality and disclosure requirements of section 8. Subject to clauses
(ii)and (iii), the Commission shall have jurisdiction over a cash or spot agreement, contract, or transaction in a permitted payment stablecoin that is offered, offered to enter into, entered into, executed, confirmed the execution of, solicited, or accepted— on or subject to the rules of a registered entity; or by any other entity registered with the Commission. This Act shall apply to a transaction described in clause
(i)only for the purpose of regulating the offer, execution, solicitation, or acceptance of a cash or spot permitted payment stablecoin transaction on a registered entity or by any other entity registered with the Commission, as if the permitted payment stablecoin were a digital commodity. Notwithstanding clause (ii), the Commission shall not make a rule or regulation, impose a requirement or obligation on a registered entity or other entity registered with the Commission, or impose a requirement or obligation on a permitted payment stablecoin issuer, regarding the operation of a permitted payment stablecoin issuer or a permitted payment stablecoin, including any aspect of such an operation or such a stablecoin. . Section 2(a)(1)(A) of such Act ( 7 U.S.C. 2(a)(1)(A) ) is amended in the 1st sentence by inserting subparagraphs
(F)and
(G)of subsection (c)(2) of this section or before section 19 .
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Sec. 401
Commission jurisdiction over digital commodity transactions
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