“To amend the securities laws to exclude investment contract assets from the definition of a security.”
No CRS summary available for this bill.
This section amends the definition of "security" in the Securities Act of 1933, Investment Advisers Act of 1940, Investment Company Act of 1940, Securities Exchange Act of 1934, and Securities Investor Protection Act of 1970 to exclude "investment contract assets" (cross-referencing the definition added to the Securities Act). It defines an "investment contract asset" as a fungible digital representation of value—(A) that can be exclusively possessed and transferred person-to-person without necessary reliance on an intermediary and is recorded on a cryptographically secured public distributed ledger; (B) sold or otherwise transferred, or intended to be sold or transferred, pursuant to an investment contract; and (C) not otherwise a security. (Thus, qualifying digital assets are not subject to federal securities registration, disclosure, or other requirements under these acts.)