A revised Senate draft of the Digital Asset Market Clarity Act would direct federal regulators to write rules for “non-decentralized finance trading protocols.” The proposal defines that category to include DeFi systems where a person or coordinated group can materially alter protocol operations, override purely pre-established code, or restrict user activity, meaning control rather than the DeFi label would drive regulatory treatment.
Under the draft, the SEC, in consultation with the Treasury Department, would clarify how controlling persons subject to securities law must meet registration, conduct, disclosure, recordkeeping and supervision requirements. Parallel provisions would give the CFTC a similar rulemaking role for covered commodity activity, while applicable Bank Secrecy Act obligations could also attach through existing law.
The proposal expressly says distributed ledger systems or software code would not themselves have to register, and regulators could not use the section to prohibit a protocol’s launch or operation. Any new obligations remain contingent on Congress enacting the bill and regulators completing notice-and-comment rulemaking, making the legislative process and subsequent agency rules the key developments to watch.
Source: U.S. Senate.
Disclaimer: Crypto Economy Flash News are based on verified public and official sources. Their purpose is to provide fast, factual updates about relevant events in the crypto and blockchain ecosystem.
This information does not constitute financial advice or investment recommendation. Readers are encouraged to verify all details through official project channels before making any related decisions.
