Patrick Daugherty Comments on Newly Proposed Crypto Bill

03 August 2022 Cointelegraph News

Foley & Lardner LLP Partner Patrick Daugherty is quoted in the Cointelegraph article, “Senators Stabenow, Boozman introduce crypto bill that extends CFTC’s regulatory powers,” about the lack of clarity in the language of the U.S. Senate’s newly proposed Digital Commodities Consumer Protection Act of 2022 (DCCPA), a bill intended to define digital commodities and register their platforms with the Commodity Futures Trading Commission (CFTC).

Daugherty said, “The legislation does not make clear that digital assets (other than Bitcoin or Ether) are not securities and are therefore covered by the DCCPA. It is therefore open to the SEC under its current leadership to continue to assert that virtually every digital asset is a security, which would be unfortunate.”

“It is not clear to me that decentralized exchanges are, or are not, intended to be covered by this legislation. The platforms that are covered must be operated by "persons," but DEXes have no personnel,” he added.

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