A bipartisan U.S. Senate bill aims to transfer primary regulatory oversight of Bitcoin and other digital assets from the Securities and Exchange Commission (SEC) to the Commodity Futures Trading Commission (CFTC). The legislation seeks to clarify jurisdictional boundaries between the two agencies for digital asset supervision, responding to industry demands for clearer regulatory frameworks.
The bill introduces criteria defining whether digital assets fall under SEC or CFTC jurisdiction, with significant assets including Bitcoin expected to shift toward CFTC supervision. Supporters argue the CFTC’s regulatory structure better accommodates the distinctive nature of digital assets compared to the SEC’s securities-focused approach.
Key bipartisan sponsors Senators Cynthia Lummis and Bill Hagerty have championed the bill, signaling strengthened legislative momentum for establishing comprehensive crypto regulations. The proposal directly challenges the SEC’s current authority and demands more predictable rules to foster innovation in the cryptocurrency sector.
An upcoming Senate Banking Committee hearing will refine the bill’s provisions through expert testimonies, focusing on balancing market oversight with economic competitiveness. If enacted, the legislation would mark a fundamental shift in U.S. digital asset governance by prioritizing institutional alignment and regulatory certainty.