On July 28, 2021, Rep. Don Beyer (D-VA) introduced the Digital Asset Market Structure and Investor Protection Act, that is intended to protect consumers and promote innovation by incorporating digital assets into existing financial regulatory structures. Specifically, the bill would do the following:
* Create statutory definitions for digital assets and digital asset securities and provide the Securities and Exchange Commission (SEC) with authority over digital asset securities and the Commodity Futures Trading Commission (CFTC) with authority over digital assets.
* Provide legal certainty as to the regulatory status for the top 90% of the digital asset market (determined by market cap and trading volume) through a joint SEC/CFTC rulemaking procedure.
* Require digital asset transactions that are not recorded on the publicly distributed ledger to be reported to a registered Digital Asset Trade Repository within 24 hours.
*Add digital assets and digital asset securities to the statutory definition of "monetary instruments" under the Bank Secrecy Act.
* Provide the Federal Reserve with explicit authority to issue a digital version of the US Dollar, clarify that digital assets, digital asset securities and fiat based stablecoins are not U.S. legal tender, and provide the Treasury Secretary with authority to permit or prohibit US Dollar and other fiat-based stablecoins.
* Direct the Federal Deposit Insurance Corporation (FDIC), National Credit Union Administration (NCUA), and the Securities Investor Protection Corporation (SIPC) to issue consumer advisories on "non coverage" of digital assets or digital asset securities.
* Require legislative recommendations from FinCEN, SEC, and CFTC to provide clarity on dividing lines between who must register as a money service business and who must register on the securities or commodities exchange.