WASHINGTON – Below are statements from House Agriculture Subcommittee Chair Sean Patrick Maloney and co-lead Congresswoman Stacey Plaskett, a fellow member of the Commodity Exchanges, Energy, and Credit Subcommittee, following the introduction of H.R. 8950, the Digital Commodities Consumer Protection Act of 2022, their legislation to close regulatory gaps and provide regulatory authority over digital commodities to the Commodity Futures Trading Commission (CFTC).

“In the nearly 13 years since Bitcoin was invented, an increasing number of Americans have put their money into digital assets of various forms--cryptocurrency, digital tokens, stablecoins, and NFTs. One in five Americans have used or traded digital assets and that number goes up for historically underserved communities. At the same time, they’re complex, volatile, and largely unregulated,” said Chair Maloney.

“The CFTC, where it does have authority over digital commodities, has dutifully exercised its role as a regulator and enforcement authority. Unfortunately, that authority has been limited. It is essential that we have robust oversight and regulation so that we may provide strong customer protections. Without this, customers and industry participants may be at increased risk of financial loss and exposure to fraud,” Chair Maloney continued.

“Digital commodities are not new, and we have had time to appreciate the risks,” Chair Maloney added. “This bill will provide the CFTC with oversight of the digital asset commodity market, adding registration requirements for market players and trading platforms, establishing a clear regulatory framework for the digital commodity spot market, and establishing an important funding regime to ensure that CFTC has the resources necessary for robust oversight of this industry.”

“Much like my colleagues, I recognize that digital assets present potential opportunities for financial inclusion and innovation. It is incumbent upon Congress to provide regulatory clarity and certainty for markets and market participants, as well as create guardrails that will protect the American consumers and future innovators. As such, I am pleased to co-lead this timely legislation to provide the Commodity Futures Trading Commission with stronger regulatory oversight of digital commodities and the marketplaces in which they are exchanged,” said Congresswoman Stacey Plaskett.

A copy of the bill text can be found here.

A section-by-section description can be found here.