Cortez Masto, Democratic Colleagues Release Framework for Market Structure Legislation

Washington, D.C. - Today, U.S. Senator Catherine Cortez Masto (D-Nev.), along with 11 of her Democratic colleagues, released a framework for market structure legislation that would create clear regulations to protect consumers and provide compliance pathways for digital asset businesses.

"The digital asset sector has grown to a $4 trillion global market. We owe it to the millions of Americans who participate in this market to create clear rules of the road that protect consumers and safeguard our markets. We also must ensure that digital assets are not used to finance illicit activities or to line the pockets of politicians and their families," the Senators said.

"Today, we're releasing a framework for a market structure bill that would regulate digital asset markets in the U.S., ensure responsible innovation, and create a safe and level playing field for all market participants. The framework is a substantive road map to guide what we hope will be robust and fruitful bipartisan negotiations and ultimately, a bipartisan product," the Senators continued.

"Achieving a strong, bipartisan outcome will require time and cannot be rushed. We look forward to working on this with our Republican colleagues," the Senators concluded.

The framework contains seven key pillars that any market structure legislation should include:

1. Closing the Gap in the Spot Market for Non-Security Digital Assets;
2. Clarifying the Legal Status of Digital Assets and Regulator Jurisdiction;
3. Incorporating Digital Asset Issuers into the Regulatory Framework;
4. Incorporating Digital Asset Platforms into the Regulatory Framework;
5. Preventing Illicit Finance;
6. Preventing Corruption and Abuse; and
7. Ensuring Fair, Effective Regulation.

The full framework can be viewed here. Additional supporters of the framework include Senators Ruben Gallego (D-Ariz.), Angela Alsobrooks (D-Md.), Lisa Blunt Rochester (D-Del.), Cory Booker (D-N.J.), Kirsten Gillibrand (D-N.Y.), John Hickenlooper (D-Colo.), Andy Kim (D-N.J.), Ben Ray Luján (D-N.M.), Adam Schiff (D-Calif.), Mark Warner (D-Va.), and Raphael Warnock (D-Ga.).

In June, Cortez Masto voted to pass the GENIUS Act, which created a new regulatory framework for payment stablecoins and incentivize stablecoin issuers to be headquartered in the U.S., while providing a roadmap for more robust regulations and consumer protections. She is also pushing for additional legislation to crack down on crypto corruption by banning the President, Vice President, Senior Executive Branch Officials, Members of Congress, and their immediate families from financially benefiting from issuing, endorsing, or sponsoring crypto assets, such as meme coins and stablecoins.

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