Two senators introduced legislation around crypto regulation on Tuesday. Senator Cynthia Lummis and Senator Kirsten Gillibrand outlined the framework that would classify digital assets as commodities.
The two glorified the bill as “landmark bipartisan legislation that will create a complete regulatory framework for digital assets that encourages responsible financial innovation, flexibility, transparency and robust consumer protections while integrating digital assets into existing law.”
The law would treat digital assets as “ancillary” and be treated as commodities under the jurisdiction of the CFTC.
According to Gillibrand, the bill would “provide clarity to both industry and regulators, while also maintaining the flexibility to account for the ongoing evolution of the digital assets market.”
Daniel Kahan, a crypto lawyer, said the CFTC “would be much more appropriate to focus on investor protection and anti-fraud and anti-market-manipulation-type issues rather than on these very technical prescriptive elements of the current securities law regime.”
