Crypto markets have been waiting for clear rules. For years, fights between regulators have kept things unclear. Now, the US Senate is giving the crypto market structure bill a second chance. This time, it ties crypto to commodities regulation. This could change how Bitcoin, Ethereum, and other tokens are treated.
The bill aims to split duties. The Commodity Futures Trading Commission (CFTC) would handle most crypto as commodities. The Securities and Exchange Commission (SEC) would focus on a smaller group. This setup could bring more clarity and growth to the industry.
The story starts in the House of Representatives. In May 2024, they passed the Financial Innovation and Technology for the 21st Century Act, or FIT21. It got strong support, with 279 votes in favor. FIT21 sets rules for when a crypto asset is a “digital commodity” or a “digital asset.”
The House win was big news. But the Senate has been slow. Some senators worry about risks like fraud. Others want to protect consumers. Now, a new version links the bill to commodities rules. This makes it easier for CFTC to lead.
The Senate bill builds on FIT21 but adds twists. It stresses CFTC’s role for spot markets. Spot markets are where you buy crypto directly, not futures contracts.
| Feature | House FIT21 | Senate Version |
|---|---|---|
| Regulator Split | CFTC for commodities, SEC for securities | Stronger CFTC push for most crypto |
| Spot Markets | CFTC oversight | Clear rules for decentralized assets |
| Stablecoins | Not fully covered | Ties to separate stablecoin bill |
Experts say this version fixes past issues. It gives platforms like Coinbase clear paths to list tokens. It also sets standards for decentralization to avoid SEC claims.
Clear rules mean less fear. Right now, SEC lawsuits scare companies away. A CFTC-led system is friendlier. CFTC has experience with futures like Bitcoin ETFs.
For users:
For businesses:
Bitcoin hit new highs after ETF approvals. This bill could do the same for the whole market.
Not everyone agrees. SEC Chair Gary Gensler calls most crypto securities. He wants strict rules. Democrats worry about consumer risks after FTX crash.
But support grows. Bipartisan senators like Cynthia Lummis (R) and Kirsten Gillibrand (D) back it. Industry groups like Coinbase lobby hard.
Timing is key. With elections near, Congress wants wins. The bill might pass before year-end, bundled with other finance laws.
Crypto is global. US rules set the tone. Europe has MiCA rules. Asia has mixed views. If US goes CFTC-heavy, it pulls innovation home.
Think about it: More US jobs in blockchain. Easier for devs to build. Wall Street gets in deeper with crypto products.
Watch Senate hearings soon. Amendments will come. Full Senate vote could follow. If passed, President Biden might sign it.
Long-term, this ends the “regulation by enforcement” era. Crypto grows from Wild West to mature market.
Stay tuned. This bill could be the turning point for crypto regulation in 2024.
The Senate’s commodities-tied version gives hope. It balances innovation and safety. Crypto fans, investors, builders – all win with clarity. What do you think? Will this pass?
Discuss this news on our Telegram Community. Subscribe to us on Google news and do follow us on Twitter @Blockmanity
Did you like the news you just read? Please leave a feedback to help us serve you better
Disclaimer: Blockmanity is a news portal and does not provide any financial advice. Blockmanity's role is to inform the cryptocurrency and blockchain community about what's going on in this space. Please do your own due diligence before making any investment. Blockmanity won't be responsible for any loss of funds.
Introduction to a Shocking Crypto Heist In the fast-growing world of cryptocurrency, big money often…
What Triggered Today's Massive Crypto Crash? The crypto market is bleeding red right now. In…
What If Your Lived on the Blockchain? AI chatbots are getting smarter. They remember your…
Unlocking the : Top Projects, Tokens, and Early Opportunities in 2026 Robots have come a…
Why the is Crashing : $120 Billion Wipeout and Bitcoin's Big Drop The crypto world…
Introduction Blockchain technology has moved beyond hype in the automotive world. Once seen as a…