Digital Assets Defined: SEC, CFTC, and Ancillary (Illusory?) Assets
In "Digital Assets Defined: How Lummis-Gillibrand Will Shape the Coming Fintech Debate," we provided a high-level overview of the Responsible Financial Innovation Act (the "Bill") and examined some of its significant takeaways. We then explored how the Bill would shore up stablecoins.
In this latest installment, we take a closer look at the Bill's contemplated regulatory jurisdiction as between the Securities and Exchange Commission ("SEC") and the Commodity Futures Trading Commission ("CFTC") in the digital assets space. In doing so, we will summarize the commissions' respective regulatory roles, and we will highlight the critical importance of the defined term "ancillary asset" in determining where regulatory authority over a particular digital asset would lie.
Jones Day publications should not be construed as legal advice on any specific facts or circumstances. The contents are intended for general information purposes only and may not be quoted or referred to in any other publication or proceeding without the prior written consent of the Firm, to be given or withheld at our discretion. To request reprint permission for any of our publications, please use our “Contact Us” form, which can be found on our website at www.jonesday.com. The mailing of this publication is not intended to create, and receipt of it does not constitute, an attorney-client relationship. The views set forth herein are the personal views of the authors and do not necessarily reflect those of the Firm.