[Congressional Bills 117th Congress]
[From the U.S. Government Publishing Office]
[H.R. 1602 Referred in Senate (RFS)]
<DOC>
117th CONGRESS
1st Session
H. R. 1602
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
April 22, 2021
Received; read twice and referred to the Committee on Banking,
Housing, and Urban Affairs
_______________________________________________________________________
AN ACT
To direct the Commodity Futures Trading Commission and the Securities
and Exchange Commission to jointly establish a digital asset working
group, and for other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Eliminate Barriers to Innovation Act
of 2021''.
SEC. 2. WORKING GROUP TO SUPPORT INNOVATION WITH RESPECT TO DIGITAL
ASSETS.
(a) Establishment.--Not later than 90 days after the date of the
enactment of this section, the Securities and Exchange Commission and
the Commodity Futures Trading Commission shall jointly establish a
working group (to be known as the ``SEC and CFTC Working Group on
Digital Assets'') to carry out the report required under subsection
(c)(1).
(b) Membership.--
(1) In general.--The Working Group shall be composed of
members appointed in accordance with paragraph (2).
(2) Appointment of members.--
(A) Representatives of commissions.--The Securities
and Exchange Commission and the Commodity Futures
Trading Commission shall each appoint an equal number
of employees of each such Commission to serve as
members of the Working Group.
(B) Representatives of nongovernmental
stakeholders.--
(i) Appointment.--The Securities and
Exchange Commission and the Commodity Futures
Trading Commission shall each appoint an equal
number of nongovernmental representatives to
serve as members of the Working Group, except
that such number of members may not be greater
than or equal to the number of members
appointed under subparagraph (A).
(ii) Required members.--The members of the
Working Group appointed under clause (i) shall
include at least one representative from each
of the following:
(I) Financial technology companies
that provide products or services
involving digital assets.
(II) Financial firms under the
jurisdiction of the Securities and
Exchange Commission or the Commodity
Futures Trading Commission.
(III) Institutions or organizations
engaged in academic research or
advocacy relating to digital asset use.
(IV) Small businesses engaged in
financial technology.
(V) Investor protection
organizations.
(VI) Institutions and organizations
that support investment in
historically-underserved businesses.
(C) No compensation for members of the working
group.--
(i) Federal employee members.--All members
of the Working Group appointed under
subparagraph (A) shall serve without
compensation in addition to that received for
their services as officers or employees of the
United States.
(ii) Non-federal members.--All members of
the Working Group appointed under subparagraph
(B) shall serve without compensation.
(c) Report.--
(1) In general.--Not later than 1 year after the date of
the enactment of this section, the Working Group shall submit
to the Securities and Exchange Commission, the Commodity
Futures Trading Commission, and the relevant committees a
report that contains--
(A) an analysis of--
(i) the legal and regulatory framework and
related developments in the United States
relating to digital assets, including--
(I) the impact that lack of clarity
in such framework has on primary and
secondary markets in digital assets;
and
(II) how the domestic legal and
regulatory regimes relating to digital
assets impact the competitive position
of the United States; and
(ii) developments in other countries
related to digital assets and identification of
how these developments impact the competitive
position of the United States; and
(B) recommendations--
(i) for the creation, maintenance, and
improvement of primary and secondary markets in
digital assets, including for improving the
fairness, orderliness, integrity, efficiency,
transparency, availability, and efficacy of
such markets;
(ii) for standards concerning custody,
private key management, cybersecurity, and
business continuity relating to digital asset
intermediaries; and
(iii) for best practices to--
(I) reduce fraud and manipulation
of digital assets in cash, leveraged,
and derivatives markets;
(II) improve investor protections
for participants in such markets; and
(III) assist in compliance with
anti-money laundering and countering
the financing of terrorism obligations
under the Bank Secrecy Act.
(2) Report limited to sec and cftc authorities.--The
analysis and recommendations provided under subparagraphs (A)
and (B) of paragraph (1) may only relate to the laws,
regulations, and related matters that are under the primary
jurisdiction of the Securities and Exchange Commission or the
Commodity Futures Trading Commission.
(d) Nonapplicability of FACA.--The Federal Advisory Committee Act
(5 U.S.C. App.) shall not apply to the Working Group.
(e) Termination.--
(1) In general.--The Working Group shall terminate on the
date that is 1 year after the date of the enactment of this
section, except that the Chairman of the Securities and
Exchange Commission and the Chairman of the Commodity Futures
Trading Commission may, jointly, extend the Working Group for a
longer period, not to exceed 1 year.
(2) Second report in the case of extension.--In the case of
an extension of the Working Group under paragraph (1), the
Working Group shall, not later than the last day of such
extension, submit to the Securities and Exchange Commission,
the Commodity Futures Trading Commission, and the relevant
committees a report that contains an update to the analysis and
recommendations required under subparagraphs (A) and (B) of
subsection (c)(1).
(f) Definitions.--In this section:
(1) Bank secrecy act.--The term ``Bank Secrecy Act''
means--
(A) section 21 of the Federal Deposit Insurance Act
(12 U.S.C. 1829b);
(B) chapter 2 of title I of Public Law 91-508 (12
U.S.C. 1951 et seq.); and
(C) subchapter II of chapter 53 of title 31, United
States Code.
(2) Historically-underserved businesses.--The term
``historically-underserved businesses'' means women-owned
businesses, minority-owned businesses, and rural businesses.
(3) Relevant committees.--The term ``relevant committees''
means--
(A) the Committee on Financial Services of the
House of Representatives;
(B) the Committee on Banking, Housing, and Urban
Affairs of the Senate;
(C) the Committee on Agriculture of the House of
Representatives; and
(D) the Committee on Agriculture, Nutrition, and
Forestry of the Senate.
(4) Working group.--The term ``Working Group'' means the
working group established under subsection (a).
Passed the House of Representatives April 20, 2021.
Attest:
CHERYL L. JOHNSON,
Clerk.