Digital Asset Market Clarity Act

The Digital Asset Market Clarity Act of 2025 establishes a comprehensive regulatory framework for digital assets, primarily distinguishing between digital commodities and securities. It grants the Commodity Futures Trading Commission (CFTC) exclusive jurisdiction over the spot market for digital commodities, while the Securities and Exchange Commission (SEC) retains authority over digital assets that are offered as investment contracts. The bill defines key terms such as "digital commodity," "blockchain system," and "mature blockchain system," with criteria for a system to be considered mature and thus less subject to securities regulation.

For digital commodity issuers, the bill outlines disclosure requirements for primary transactions, particularly for systems aiming to achieve "mature" status, and sets rules for secondary market sales by affiliated persons. It mandates expedited registration processes for digital commodity exchanges, brokers, and dealers with the CFTC, requiring them to adhere to core principles like customer asset protection, market monitoring, and robust financial resources. These intermediaries must also comply with Bank Secrecy Act requirements, including anti-money laundering and countering the financing of terrorism programs.

The legislation clarifies that certain decentralized finance (DeFi) activities and non-controlling blockchain development are generally not subject to SEC or CFTC regulation. It also addresses the treatment of custody activities by banking institutions, specifying that digital assets held in custody should not be treated as liabilities or require capital reserves unless for operational risks. Furthermore, the bill allows SEC-registered entities to also register with the CFTC for digital commodity activities, aiming to reduce duplicative regulations for dual-registered firms.

A significant component of the bill is the "Anti-CBDC Surveillance State Act," which explicitly prohibits Federal Reserve banks from offering financial products or services directly to individuals or maintaining individual accounts. Crucially, it bans the Federal Reserve from issuing a central bank digital currency (CBDC), either directly or indirectly, and from using any such digital asset for monetary policy purposes. This prohibition includes any digital asset substantially similar to a CBDC, with an exception for open, permissionless, and private dollar-denominated currencies that preserve privacy.

Finally, the bill mandates numerous studies by the SEC, CFTC, Treasury, and GAO on various aspects of digital assets, including decentralized finance, non-fungible tokens, financial literacy, market infrastructure, illicit use, and foreign adversary participation. These studies aim to inform future policy and ensure a deeper understanding of the evolving digital asset ecosystem. The overall goal is to foster innovation while establishing clear regulatory boundaries and strong consumer and investor protections.