Senator Cynthia Lummis Pushes New Crypto Bill to Clarify SEC and CFTC Roles

U.S. Senators introduced an updated draft of the market structure bill on Friday, aiming to bring more clarity to digital assets and cryptocurrencies. One of the most notable changes is that stocks and securities will not be treated as commodities if they are tokenized. The bill also excludes certain crypto activities, such as DePIN, staking, and airdrops, from securities law.

Under Section 101, the bill blocks the SEC and private firms from bringing lawsuits against existing tokens unless fraud is involved. This provision is designed to stop regulators from overreaching into the crypto market. It also clearly states that NFT transactions will not be treated as securities, meaning buying, selling, or transferring an NFT is not the same as trading stocks.

The bill creates a joint advisory committee under Section 701, requiring the SEC and CFTC to coordinate on crypto oversight. Section 702 directs the agencies to resolve disputes together, preventing regulatory turf wars. The updated draft includes strong protections for software developers and DeFi platforms, signaling a shift toward clearer regulatory frameworks for the industry.