Leading US senators have released a bill that sets a comprehensive framework for cryptoassets.
US Senator Cynthia Lummis and Senator Kirsten Gillibrand announced the anticipated cryptoasset bill. The bill favors the CFTC over the SEC over industry oversight and aims to allay tax concerns from buying things with crypto assets.
The bill will exempt citizens from tax on transactions of less than $200, thereby exempting small-scale purchases of goods and services from tax liability. It will also give new powers to the Commodity Futures Trading Commission (CFTC) and set a federal framework for stablecoins.
The Bill, called the Responsible Financial Innovation Act, will “create regulatory clarity for institutions tasked with overseeing digital asset markets, provide a strong, tailored regulatory framework for stablecoins, and integrate digital assets into our existing tax and banking laws.”
Additionally, it will define the difference between crypto securities and commodities, allowing token issuers to know in advance what they are releasing based on “the purpose of the asset and the rights or entitlements it conveys to the consumer.”
Addressing the bankruptcy controversy that arose with Coinbase’s filing with the SEC in the past few days, the bill also aims to provide “necessary legal clarity” on how customers’ assets will be handled if the company goes bankrupt.
Lummis and Gillibrand’s proposal is noted to be important for starting a dialogue, while on the other hand it is stated that this may not be finalized until next year.
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