“A bill to prohibit bailouts of digital asset market participants, and for other purposes.”
No CRS summary available for this bill.
This section prohibits a Federal agency from providing financial assistance to a digital asset intermediary (i.e., any person providing financial services with respect to digital assets), digital asset service provider, distributed ledger protocol, decentralized finance trading protocol (i.e., a blockchain system enabling non-discretionary, automated financial transactions without third-party custody of user digital assets), or financial service provider regulated by a Federal banking agency with respect to digital asset activities, including to prevent the failure or bankruptcy of a digital asset commodity intermediary. It further (1) bars such entities from accessing Federal Reserve emergency liquidity facilities under section 13(3) of the Federal Reserve Act; (2) prohibits the Secretary of the Treasury from using the Exchange Stabilization Fund for their benefit; and (3) specifies that these prohibitions do not affect the Federal Reserve's authority to lend to depository institutions under section 10B of the Federal Reserve Act.