U.S. Senate Agriculture Committee Unveils Crypto Regulation Draft

According to Cointelegraph, the U.S. Senate Agriculture Committee has introduced a discussion draft of crypto market structure laws, marking a significant step towards establishing regulatory frameworks for the cryptocurrency sector. The draft, released by Republican Agriculture Chair John Boozman and Democrat Senator Cory Booker, aims to define the regulatory boundaries of the Commodity Futures Trading Commission (CFTC) and the Securities and Exchange Commission (SEC) concerning crypto oversight. The proposed legislation seeks to clarify the roles of these agencies, with Congress holding the authority to set their regulatory limits. Under the Trump administration's deregulation efforts, both the CFTC and SEC have provided guidance to companies regarding crypto regulations. Boozman emphasized the importance of the CFTC in regulating spot digital commodity trading, advocating for clear rules to protect consumers in the evolving crypto market. Senator Booker highlighted the draft's potential to grant the CFTC new powers to oversee the digital commodity spot market, introduce protections for retail customers, and ensure the agency is equipped with the necessary resources and personnel to manage this expanding sector. This initiative follows the House's approval of a similar bill, the CLARITY Act, which was forwarded to the Senate in July, proposing a central role for the CFTC in crypto regulation.