The Crypto Clarity Act, officially known as the Digital Asset Market Structure Clarity Act, aims to bring regulatory clarity to the digital asset space in the U.S. Here’s what you need to know ¹:
Key Provisions
- *Defining digital assets*: Establishing clear definitions for terms like blockchain, digital assets, and digital commodities to avoid confusion.
- *Dividing oversight*: Establishing regulatory roles between the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC) based on how digital assets are used.
- *Creating "investment contract assets"*: Allowing certain tokens that initially started as securities to then be treated as commodities if they become decentralized.
- *Registration requirements*: Crypto businesses, including exchanges, brokers, and dealers dealing with digital commodities, must register with the CFTC or risk facing penalties.
- *Limited fundraising*: Projects can raise up to $75 million each year under disclosure requirements if their blockchain aims to be decentralized.
- *Mature blockchain systems*: Defining mature blockchain systems as those that do not have control by one person or group, allowing for lighter regulation.
Impact
- *Regulatory clarity*: Providing a more predictable compliance environment for crypto businesses and investors.
- *Increased investor confidence*:#CryptoClarityAct $BNB
