Sec. 105. Rulemakings
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The Commodity Futures Trading Commission and the Securities and Exchange Commission shall jointly issue rules to further define the following terms: The terms— blockchain , blockchain application , blockchain system , blockchain protocol , decentralized governance system , digital commodity affiliated person , digital commodity issuer , digital commodity related person , end user distribution , and mature blockchain system , as defined under section 2(a) of the Securities Act of 1933; unilateral authority , as such term is used in section 42 of the Securities Exchange Act of 1934 and section 1a of the Commodity Exchange Act; and programmatic functioning , as such term is used in sections 4C of the Securities Act of 1933, section 42 of the Securities Exchange Act of 1934, and section 1a of the Commodity Exchange Act.
The terms digital commodity , decentralized finance messaging system , and decentralized finance trading protocol as defined under section 1a of the Commodity Exchange Act. The Securities and Exchange Commission and the Commodity Futures Trading Commission shall jointly issue rules applicable to mixed digital asset transactions under this Act and the amendments made by this Act, including by further defining such term. A United States individual shall retain the right to— maintain a hardware wallet or software wallet for the purpose of facilitating the individual’s own lawful custody of digital assets; and engage in direct, peer-to-peer transactions in digital assets with another individual or entity for the individual’s own lawful purposes using a hardware wallet or software wallet, if— such other individual or entity is not a financial institution (as defined in section 5312 of title 31, United States Code); and the transactions do not involve any property or interests in property that are blocked pursuant to, or are otherwise prohibited by, United States sanctions.
This subsection— applies solely to personal use by individuals; and does not apply to individuals acting in a custodial or fiduciary capacity for others. Nothing in this subsection shall be construed to limit the authority of the Secretary of the Treasury, the Securities and Exchange Commission, the Commodity Futures Trading Commission, the Board of Governors of the Federal Reserve System, the Comptroller of the Currency, the Federal Deposit Insurance Corporation, or the National Credit Union Administration to carry out any enforcement action or special measure authorized under applicable law, including— the Bank Secrecy Act, section 9714 of the Combating Russian Money Laundering Act ( 31 U.S.C. 5318A note), and section 7213A of the Fentanyl Sanctions Act ( 21 U.S.C. 2313a ); or any other law relating to illicit finance, money laundering, terrorism financing, or United States sanctions.
Not later than 180 days after the date of the enactment of this Act, the Commodity Futures Trading Commission and the Securities and Exchange Commission shall jointly issue rules, procedures, or guidance (as determined appropriate by the Commissions) regarding the process to delist an asset for trading under section 106 of this Act if the Commissions determine that the listing is inconsistent with the Commodity Exchange Act, the securities laws (including regulations under those laws), or this Act.
Not later than 360 days after the date of the enactment of this Act, the Commodity Futures Trading Commission and the Securities and Exchange Commission shall jointly issue rules describing the process for persons registered with either such Commission to seek a joint order or determination with respect to margin, customer protection, segregation, or other requirements as necessary to facilitate portfolio margining of securities (including related extensions of credit), security-based swaps, contracts for future delivery, options on a contract for future delivery, swaps, and digital commodities, or any subset thereof, in— a securities account carried by a registered broker or dealer or a security-based swap account carried by a registered security-based swap dealer; a futures or cleared swap account carried by a registered futures commission merchant; a swap account carried by a swap dealer; or a digital commodity account carried by a registered digital commodity broker or digital commodity dealer that is also registered in such other capacity as is necessary to also carry the other customer or counterparty positions being held in the account.
With respect to a joint order or determination described in paragraph (1), the rules required to be issued pursuant to paragraph
(1)shall require— the joint order or determination to be issued only if the order or determination is in the public interest and provides for the appropriate protection of customers; applicants to file a standard application, in a form and manner determined by the Securities and Exchange Commission and the Commodity Futures Trading Commission, which shall include the information necessary to make the joint order or determination; the Securities and Exchange Commission and the Commodity Futures Trading Commission to make a final determination not later than 270 days after the filing of a completed application; the Securities and Exchange Commission and the Commodity Futures Trading Commission to consider the public interest of the joint order or determination through the solicitation of public comments; and the Securities and Exchange Commission and the Commodity Futures Trading Commission to consult with other relevant foreign or domestic regulators, including the Board of Governors of the Federal Reserve System, the Federal Deposit Insurance Corporation, and the Office of the Comptroller of the Currency, as appropriate.
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- 31 USC 5318A
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