Digital Asset Market Clarity Act of 2025
Description
This bill would establish a regulatory framework for digital commodities and define the oversight roles of the CFTC and the SEC.
Summary
What it does
This bill would establish a regulatory framework for digital commodities, placing the Commodity Futures Trading Commission in charge of overseeing digital commodity exchanges, brokers, and dealers. To be traded on an exchange, a digital asset would need to operate on a decentralized blockchain or meet specific reporting requirements. Additionally, the bill would exempt certain digital commodities from Securities and Exchange Commission registration while subjecting market participants to anti-money laundering requirements under the Bank Secrecy Act.
Who is affected
This bill affects digital commodity exchanges, brokers, and dealers, who must comply with new regulatory frameworks, recordkeeping requirements, and anti-money laundering standards under the Bank Secrecy Act. Federal regulators, specifically the Commodity Futures Trading Commission and the Securities and Exchange Commission, are impacted by new jurisdictional mandates over digital asset transactions and trading systems. Additionally, issuers of digital commodities are affected by new reporting requirements and criteria for decentralized control of blockchain systems.
Key provisions
- Establishment of a regulatory framework for digital commodities. The bill defines digital commodities as assets relying on a blockchain for value and grants the Commodity Futures Trading Commission general authority to regulate their transactions, exchanges, brokers, and dealers.
- Exchange trading and reporting requirements. To be traded on an exchange, a digital commodity must either exist on a mature or decentralized blockchain system or the issuer must file specific reports.
- Exemptions from SEC registration. Digital commodities on mature blockchains, or those expected to mature within certain timeframes, are exempt from Securities and Exchange Commission registration if they meet specific annual sales limits and other criteria.
- Operational requirements for market participants. The bill mandates standards for trade monitoring, recordkeeping, and the protection of customer assets from commingling. It also subjects digital commodity entities to the Bank Secrecy Act for anti-money laundering purposes.
- SEC jurisdiction over specific activities. The Securities and Exchange Commission is granted jurisdiction over digital commodity transactions conducted by certain brokers and dealers on national securities exchanges and alternative trading systems.
- Provisional registration and implementation. The bill outlines requirements for alternative trading systems and previously issued digital commodities, including a provisional registration process to be used until the bill is fully implemented.
Fiscal impact
- Estimated Budgetary Effects of H.R. 3633, CLARITY Act of 2025· As posted on the website of the House Committee on Rules on July 2, 2025
Effective dates
The bill includes provisions for provisional registration of digital commodity entities until the legislation is fully implemented.
Relationship to existing law
The bill creates exemptions from Securities and Exchange Commission (SEC) registration requirements for certain digital commodities and subjects digital commodity exchanges, brokers, and dealers to the anti-money laundering requirements of the Bank Secrecy Act.
Stated purpose
The bill aims to establish a comprehensive regulatory framework for digital commodities by defining oversight responsibilities between the Commodity Futures Trading Commission and the Securities and Exchange Commission. It seeks to provide market clarity through specific requirements for blockchain decentralization, reporting standards for issuers, and consumer protections regarding asset commingling and anti-money laundering.