Decade-Long Tug-of-War Concludes: "Crypto Market Structure Bill" Races Toward Senate

marsbitPublished on 2025-12-12Last updated on 2025-12-12

Abstract

After a decade of regulatory uncertainty, the U.S. is advancing the "Cryptocurrency Market Structure Act" (CLARITY Act), which is expected to move into the Senate for revision and voting next week. The bill, which passed the House with overwhelming support in July, aims to end the long-standing debate over whether digital assets are securities or commodities by introducing a clear classification framework. The core of the legislation distinguishes between "digital commodities" and "digital securities." Most tokens issued on decentralized blockchains will be classified as digital commodities under CFTC jurisdiction, while only those meeting the Howey test will remain regulated as securities by the SEC. The bill also establishes a "mature blockchain" exemption, allowing highly decentralized networks like Bitcoin and Ethereum to avoid SEC registration. Additionally, digital commodity trading platforms must register with the CFTC, with a 360-day interim registration period to ensure a smooth transition. The act mandates coordination between the CFTC and SEC through a joint advisory committee to prevent regulatory gaps. It also protects decentralized finance (DeFi) participants by exempting non-custodial, non-profit roles from broker-dealer regulations. This legislative push aligns with broader regulatory shifts under the Trump administration, which has appointed crypto-friendly leaders to key agencies like the SEC, CFTC, and FDIC. These changes, along with recent CFTC initi...

On December 10th, US Senators Gillibrand and Lummis announced at the Blockchain Association Policy Summit that the draft of the "Cryptocurrency Market Structure Act" (CLARITY Act) is expected to be released this weekend and enter the revision and hearing vote stage next week. This means this long-brewing legislative project has officially entered its decisive window.

The bill was first introduced in the US House of Representatives on May 29, 2025, co-sponsored by House Financial Services Committee Chairman Patrick McHenry and Digital Assets and Innovation Subcommittee Chairman French Hill. It passed the House vote by an overwhelming majority (294 votes in favor) on July 17 and is currently awaiting final review by the Senate.

Core Design of the Bill: Classification Over a One-Size-Fits-All Approach

The core of the "Cryptocurrency Market Structure Act" lies in its attempt to end the decade-long tug-of-war between US regulators and the industry over whether digital assets are "securities or commodities." For the first time, it draws a clear boundary for digital assets through legislation, avoiding a "one-size-fits-all" regulatory model in favor of a classified regulatory framework. Specifically:

Legal Distinction Between "Digital Commodities" and "Digital Securities"

The bill explicitly defines the vast majority of tokens natively issued on decentralized blockchains as "digital commodities," transferring their regulatory authority to the Commodity Futures Trading Commission (CFTC). Only those tokens that meet the Howey Test and possess typical "investment contract" characteristics will continue to be regulated by the SEC under securities laws.

"Mature Blockchain" Exemption Path

To prevent all tokens from being forcibly classified as securities, the bill establishes a "mature blockchain system" standard: a blockchain must simultaneously satisfy conditions of "high decentralization" (no single entity controls more than 20% of the token supply or validation power) and derive its value primarily from the network's actual usage to be exempt from SEC securities registration requirements. This provides a clear path for mainstream assets like Bitcoin and Ethereum, ensuring regulation does not stifle technological progress.

Comprehensive Shift of Secondary Markets to CFTC Oversight

The bill requires all platforms engaged in spot or derivative trading of digital commodities to register with the CFTC as a "Digital Commodity Exchange" (DCE), digital commodity broker, or dealer. Acknowledging industry realities, the bill also includes a 360-day "provisional registration" channel, ensuring existing compliant platforms are not forced to shut down due to technical violations during the transition period, thereby enabling a smooth transition.

Limited Fundraising Exemptions

Even for initial token offerings on mature blockchains that are still deemed "investment contracts," issuers can apply for an exemption from the registration requirements of the 1933 Securities Act, provided the total annual fundraising does not exceed $75 million and stricter information disclosure obligations are fulfilled. This design attempts to strike a balance between encouraging innovation and protecting investors.

Division of Labor Between CFTC and SEC: From Confrontation to Collaboration

The prolonged jurisdictional tug-of-war between the SEC and CFTC over digital assets has long been described as the "Achilles' heel" of the crypto industry. Regulatory uncertainty has even been considered a significant hidden cost suppressing innovation vitality within the US. If the "Cryptocurrency Market Structure Act" comes into effect, it will definitively end this situation through legislation, establishing a clear division of responsibilities: the CFTC becomes the core regulator of the secondary market for digital commodities, while the SEC focuses on token offerings and private placement behaviors in the primary market that still possess securities attributes.

To ensure coordination between the two agencies in overlapping areas, the bill mandates the establishment of a permanent "Joint Advisory Committee". Either agency must formally respond to non-binding recommendations put forward by the committee when formulating rules that could affect the other's jurisdictional scope. This mechanism aims to prevent future regulatory gaps or overlapping regulations.

Simultaneously, the bill provides clear protection for the decentralized finance (DeFi) ecosystem: protocol front-end developers, node validators, miners, and other non-custodial, non-profit roles will be explicitly excluded from the definitions of "broker" or "dealer," significantly reducing the compliance burden at the protocol level and preserving reasonable space for technological innovation.

Supporting Actions Progressing Simultaneously: CFTC is "Implementing First"

As the Senate review of the "Cryptocurrency Market Structure Act" enters a critical stage, on December 5th, acting Chairman of the US Commodity Futures Trading Commission (CFTC), Caroline D. Pham, announced that spot cryptocurrency products will, for the first time, be permitted to trade on CFTC-regulated, regulated futures trading platforms.

Pham stated that this move is part of the Trump administration's plan to make the US the "cryptocurrency capital of the world," aiming to address the lack of safeguards on offshore trading platforms by providing a regulated domestic market.

Furthermore, as part of the "Crypto Sprint" plan, the CFTC will also promote the use of tokenized collateral (including stablecoins) in derivatives markets and revise rules to support the application of blockchain technology in infrastructure such as clearing and settlement. This will strengthen the CFTC's leadership role in the digital asset space, highly aligning with the spirit of the bill.

Trump's Nominations Accelerate: Crypto-Friendly Leadership in Place

Since Trump's second term, the personnel layout of major US financial regulatory agencies has continued to tilt towards supporting digital assets, a shift that has become a key catalyst for the accelerated development of the crypto industry.

US Securities and Exchange Commission (SEC) Chairman Paul Atkins stated in an interview with CNBC that the US "resistance" to cryptocurrency has lasted "too long." Paul Atkins was appointed by Trump and took office in 2025. He views the "Cryptocurrency Market Structure Act" as part of "Project Crypto," an initiative aimed at bringing order and fairness to digital asset classification through legislation and rules.

Simultaneously, on October 25, 2025, Trump nominated Brian Quintenz to serve as CFTC Chairman and Commissioner. A former crypto lawyer, Quintenz represented numerous crypto companies (such as venture capital funds and blockchain projects) at the law firm Willkie Farr & Gallagher and has served as Chief Legal Counsel for the SEC's Crypto Task Force since March 2025, reporting directly to Atkins.

Trump also nominated Travis Hill to serve as Chairman of the Federal Deposit Insurance Corporation (FDIC); he had been serving as acting chairman since 2025. Hill is also crypto-friendly, having publicly supported banks' involvement in crypto custody and stablecoin issuance, believing it can enhance financial inclusion. The FDIC regulates the interface between banks and crypto (e.g., stablecoin issuers), and his appointment may facilitate banks' entry into the crypto space.

After the government resumed operations, the SEC has successively introduced institutional optimization plans to accelerate the ETF approval pace, sending a very clear overall signal: regulatory logic is transitioning from defensive management to structural acceptance.

Conclusion: The US is Completing the "Crypto Rule of Law Puzzle"

More importantly, the progress of the "Cryptocurrency Market Structure Act" may consolidate the effectiveness of the "U.S. Stablecoin Innovation Act" signed by Trump earlier this year, which already provided a safety framework for stablecoin issuance. This bill further completes the legislative puzzle for the crypto industry, filling the market structure gap and propelling the US from a "follower" to a "leader" in global crypto regulation.

Overall, these policy and personnel changes signal a structural opportunity for the US crypto ecosystem, with regulatory clarity potentially attracting more institutional capital inflows. However, challenges have not disappeared, such as coordinating DeFi regulatory details and aligning with international standards. But for global crypto practitioners, this is not just an American story; it is a crucial window period for the entire industry.

Trending Cryptos

ctr
CitreaCTR
wstusdt
wrapped stUSDTWSTUSDT
apr
aPrioriAPR
ctx
Cryptex FinanceCTX
audio
AudiusAUDIO
mantra
MantraMANTRA
xvs
VenusXVS
waxl
AxelarWAXL
bill
Billions NetworkBILL
pyth
PYTH (Pyth)PYTH
rune
THORChainRUNE
velodrome
Velodrome FinanceVELODROME
brev
BrevisBREV
zrx
ZRX（0X）ZRX
cake
PancakeSwapCAKE

Related Questions

QWhat is the core design principle of the 'Cryptocurrency Market Structure Act' (CLARITY Act)?

AThe core design principle is to avoid a 'one-size-fits-all' regulatory model and instead adopting a classification framework. It clearly distinguishes between 'digital commodities' and 'digital securities' to end the decade-long jurisdictional tug-of-war between regulators.

QWhich U.S. regulatory agency is given primary oversight of the secondary market for 'digital commodities' under the proposed bill?

AThe Commodity Futures Trading Commission (CFTC) is given primary regulatory authority over the secondary market for 'digital commodities'.

QWhat is the 'mature blockchain system' exemption path outlined in the bill?

AThe 'mature blockchain system' exemption allows a blockchain to be exempt from SEC securities requirements if it is 'highly decentralized' (no single entity controls more than 20% of the token supply or validation power) and its value is primarily derived from the network's actual use.

QWho are the two key political figures that have been appointed to lead the SEC and CFTC, signaling a pro-crypto shift in U.S. policy?

APaul Atkins was appointed as the Chairman of the SEC, and Brian Quintenz was nominated to be the Chairman of the CFTC. Both are seen as crypto-friendly appointments.

QWhat is the name of the committee established by the bill to ensure coordination between the CFTC and SEC?

AThe bill establishes a standing 'Joint Advisory Committee' to ensure coordination and avoid regulatory gaps or overlaps between the CFTC and SEC.

Related Reads

Injective software package hit by malicious supply chain attack – Details

In a software supply chain attack, malicious actors compromised the Injective Labs TypeScript SDK (@injectivelabs/sdk-ts v1.20.21) by uploading a tainted version to the npm registry. The attackers gained access to a legitimate contributor's GitHub account to distribute malicious commits. The compromised package, disguised as a routine update, contained malware that activated only when developers used specific wallet generation functions, stealing private keys and mnemonic seed phrases. This breach impacted approximately 50,000 weekly downloads and spread through transitive dependencies in 17 other Injective packages. While a clean version (v1.20.23) was later released, the malicious package remained accessible. Affected users are advised to rotate credentials, create new wallets, and move their funds.

ambcrypto11m ago

Injective software package hit by malicious supply chain attack – Details

ambcrypto11m ago

After Aave's Exit and TVL's Sharp Fluctuation, Where Does MegaETH's Valuation Anchor Lie?

Following the withdrawal of Aave and a sharp drop in its Total Value Locked (TVL), the valuation of the high-performance DeFi blockchain MegaETH faces scrutiny. Once a highly anticipated project with a fully diluted valuation (FDV) reaching around $2 billion, MegaETH saw its TVL plummet from a May peak of $245 million to just over $30 million in July, a roughly 70% decline. Its native token, MEGA, currently trades around $0.048 with a market cap of approximately $54 million and an FDV of about $480 million. The report identifies a core vulnerability: MegaETH's TVL was heavily dependent on a single protocol, Aave V3, which at its peak contributed around 90% of the chain's TVL. A significant portion of this capital is attributed to leveraged yield-farming strategies involving stablecoins like USDe. When the profitability of these strategies diminished, capital rapidly exited, exposing the lack of diversified, sustainable activity. Three key mismatches between MegaETH's valuation and its fundamentals are highlighted: 1. **Valuation vs. Real Usage:** With an FDV of ~$4.8B but only ~$1M in annualized protocol revenue and ~2,600 daily active addresses, the valuation appears disconnected from current economic activity. 2. **Token Narrative vs. Ecosystem Reality:** Despite its DeFi narrative, nearly 80% of the chain's recent protocol revenue comes from a trading card game, Monster, not from core DeFi applications like Aave. The chain's native stablecoin, USDM, also shows low trading volume and a declining market cap. 3. **Short-Term Hype vs. Long-Term Delivery:** Initial hype from token generation, blue-chip integrations, and influencer support has faded. Major protocols like Uniswap now hold minimal TVL on the chain, indicating that early capital was largely transient and driven by incentives rather than organic demand. The situation reflects a broader market trend where investors are becoming less tolerant of valuations based on inflated TVL and narrative, demanding clearer evidence of sustainable transactions, revenue, and ecosystem development. While MEGA's price may experience short-term rebounds from market sentiment, a fundamental re-rating likely depends on the team's ability to convert its remaining resources into tangible, user-retaining applications and genuine ecosystem growth.

链捕手30m ago

After Aave's Exit and TVL's Sharp Fluctuation, Where Does MegaETH's Valuation Anchor Lie?

链捕手30m ago

Goldman Sachs In-Depth Report: Who Will Be the Long-Term Winners in China's AI Large Model Industry?

Goldman Sachs Report: China's AI Models at an Inflection Point China's open-source/open-weight large language models (LLMs) have reached performance parity with top global proprietary models, according to a Goldman Sachs report. This is driven by architectural innovations and higher parameter efficiency, allowing Chinese models to achieve comparable capabilities at 2%-10% the parameter size and significantly lower cost. The market is evolving into a two-tiered structure: a high-end segment (e.g., GLM5.2, Qwen3.7 Max) with premium pricing and a low-end, price-sensitive segment for global SMEs and individual users. Key points: * **Cost & Performance:** Innovations like Mixture of Experts (MoE) enable high performance with smaller models. Projects like Meituan's LongCat 2.0, trained on domestic hardware, highlight progress in tech self-sufficiency. * **Open-Source Strategy:** Most Chinese players use open-source/open-weight models for flexibility and ecosystem growth. However, Goldman notes this may underreport actual deployment and revenue. A shift toward "open-weight + community license" models with revenue sharing (e.g., MiniMax) could improve monetization. * **Market Shift & Global Expansion:** Enterprise AI adoption is shifting from "token maximization" to "ROI-first." International expansion, especially in non-US markets, is a major growth driver. Chinese models are increasingly available on global platforms like AWS Bedrock and Microsoft Copilot. * **Competitive Landscape:** Using a framework based on pricing power, cost advantage, and financial strength, Goldman identifies **Zhipu AI and DeepSeek** as the strongest in foundational text models, and **ByteDance** as the leader in multimodal/video generation. The report maintains Buy ratings on MiniMax and Kuaishou. * **Market Growth:** China's AI model API and subscription revenue is projected to grow from an estimated ¥35 billion in 2026 to ¥879 billion by 2030.

marsbit49m ago

Goldman Sachs In-Depth Report: Who Will Be the Long-Term Winners in China's AI Large Model Industry?

marsbit49m ago

Goldman Sachs Deep Dive Report: Who Will Become the Long-Term Winners in China's AI Large Model Industry?

Goldman Sachs Report: Who Will Be the Long-Term Winners in China's AI Large Model Industry? China's AI large model sector is at a historic inflection point. Goldman Sachs argues that the intelligence of Chinese open-source/open-weight models is approaching top global proprietary models. Rapid adoption by domestic enterprises and global SMEs is creating a data flywheel effect that will further drive model iteration. The evolution is summarized as moving from "DeepSeek's cost-efficiency moment last year to GLM's model-intelligence moment this year." Chinese models achieve near-state-of-the-art performance at significantly lower cost, primarily due to architectural innovations like Mixture of Experts (MoE) and higher parameter efficiency. Models like DeepSeek V4 Pro (1.6T params), GLM5.2 (0.7T), and MiniMax M3 (0.4T) are much smaller than global leaders. Recent advancements in coding capability are attributed to better data curation and RLHF. Landmarks like Meituan's LongCat 2.0, trained fully on domestic AI chips, demonstrate progress in hardware stack independence. The market is forming a "two-tiered structure." The high-end tier (e.g., GLM5.2, Alibaba's Qwen3.7 Max) prices around $1 per million tokens, about 10-25% of US top models, with estimated inference gross margins of 10-20%. The low-end tier (priced as low as $0.06-$0.2 per million tokens) targets price-sensitive global SMEs and individuals. MiniMax derives 60-70% of revenue overseas. Goldman forecasts China's AI model API/subscription revenue to grow from an estimated RMB 35bn in 2026 to RMB 879bn by 2030. Most Chinese players adopt open-source/open-weight strategies for deployment flexibility and community feedback, though this limits monetization as deployments on third-party platforms (e.g., Alibaba Cloud) may not generate direct revenue. A shift towards "open-weight + community license" models with revenue-sharing agreements (like MiniMax's approach) could improve unit economics. International expansion, particularly in non-US markets, is the key growth driver. The global enterprise AI paradigm is shifting from "token maximization" to "ROI prioritization." Chinese models are already hosted on major global platforms like AWS Bedrock and are under consideration for integration into Microsoft Copilot. Using a competitive framework based on pricing power, cost advantage, and financial strength, Goldman identifies the strongest players: In foundational text models, Zhipu AI (initiated coverage) and DeepSeek lead. In multimodal/video generation, ByteDance's Seed is the frontrunner, with Kuaishou's Kling and MiniMax's Hailuo also well-positioned. Goldman maintains a Buy rating on MiniMax, citing its attractive valuation.

链捕手54m ago

Goldman Sachs Deep Dive Report: Who Will Become the Long-Term Winners in China's AI Large Model Industry?

链捕手54m ago

Circle secures final OCC approval for national trust bank to strengthen USDC infrastructure

Circle has received final approval from the U.S. Office of the Comptroller of the Currency (OCC) to establish Circle National Trust, a federally regulated national trust bank. This marks a key regulatory milestone, bringing core parts of the company's USDC stablecoin infrastructure under direct federal oversight. The new bank will initially provide digital asset custody services for Circle and its affiliates, with a pathway to serve institutional clients and potentially manage the USDC reserve in the future. The approval advances Circle from the conditional stage it reached alongside other crypto firms in late 2025. This move reflects a broader trend of integrating crypto infrastructure into the existing U.S. banking framework through national trust charters, which specialize in custody and fiduciary services rather than traditional lending.

ambcrypto1h ago

Circle secures final OCC approval for national trust bank to strengthen USDC infrastructure

ambcrypto1h ago

Trading

Spot

Hot Articles

How to Buy US

Welcome to HTX.com! We've made purchasing Talus Network (US) simple and convenient. Follow our step-by-step guide to embark on your crypto journey.Step 1: Create Your HTX AccountUse your email or phone number to sign up for a free account on HTX. Experience a hassle-free registration journey and unlock all features.Get My AccountStep 2: Go to Buy Crypto and Choose Your Payment MethodCredit/Debit Card: Use your Visa or Mastercard to buy Talus Network (US) instantly.Balance: Use funds from your HTX account balance to trade seamlessly.Third Parties: We've added popular payment methods such as Google Pay and Apple Pay to enhance convenience.P2P: Trade directly with other users on HTX.Over-the-Counter (OTC): We offer tailor-made services and competitive exchange rates for traders.Step 3: Store Your Talus Network (US)After purchasing your Talus Network (US), store it in your HTX account. Alternatively, you can send it elsewhere via blockchain transfer or use it to trade other cryptocurrencies.Step 4: Trade Talus Network (US)Easily trade Talus Network (US) on HTX's spot market. Simply access your account, select your trading pair, execute your trades, and monitor in real-time. We offer a user-friendly experience for both beginners and seasoned traders.

5.2k Total ViewsPublished 2025.12.11Updated 2026.06.02

How to Buy US

Discussions

Welcome to the HTX Community. Here, you can stay informed about the latest platform developments and gain access to professional market insights. Users' opinions on the price of US (US) are presented below.

活动图片

Top Questions

Hot Categoriesright-arrow

Hot Tagsright-arrow