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H.R. 4234 (116th): To amend the Commodity Exchange Act with respect to the regulation of virtual currencies.


The text of the bill below is as of Sep 6, 2019 (Introduced). The bill was not enacted into law.


I

116th CONGRESS

1st Session

H. R. 4234

IN THE HOUSE OF REPRESENTATIVES

September 6, 2019

introduced the following bill; which was referred to the Committee on Agriculture

A BILL

To amend the Commodity Exchange Act with respect to the regulation of virtual currencies.

1.

Virtual currency

(a)

Definition

Section 1a of the Commodity Exchange Act (7 U.S.C. 1a) is amended by adding at the end the following:

(52)

Virtual currency

The term virtual currency means a digital representation of value that does not have legal tender status and that functions as a medium of exchange, a unit of account, or a store of value.

.

(b)

Requirements applicable to boards of trade

Section 5(d)(4) of such Act (7 U.S.C. 7(d)(4)) is amended—

(1)

by striking all that precedes board of trade and inserting the following:

(4)

Prevention of market disruption

(A)

In general

The

;

(2)

by redesignating each of subparagraphs (A) and (B) as clauses (i) and (ii), respectively, and moving each of such provisions 2 ems to the right; and

(3)

by adding after and below the end the following:

(B)

Virtual currency

Notwithstanding paragraph (1)(B), with regard to a contract on the contract market that references a virtual currency available on a spot market platform, in order to fully comply with this paragraph, the board of trade must have—

(i)

unconstrained access to all trade and trader data regarding the virtual currency on the spot market platform; and

(ii)

the capability to provide the data to the Commission on request.

.

(c)

Requirements applicable To swap execution facilities

Section 5h(f)(4) of such Act (7 U.S.C. 7b–3(f)(4)) is amended—

(1)

by striking all that precedes swap execution facility shall and inserting the following:

(4)

Monitoring of trading and trade processing

(A)

In general

The

;

(2)

by redesignating each of clauses (i) and (ii) of subparagraph (A) as subclauses (I) and (II), respectively, and moving each of such provisions 2 ems to the right;

(3)

by redesignating subparagraphs (A) and (B) as clauses (i) and (ii), respectively, and moving each of such provisions 2 ems to the right; and

(4)

by adding after and below the end the following:

(B)

Virtual currency

Notwithstanding paragraph (1)(B), with regard to a swap on the swap execution facility that references a virtual currency available on a spot market platform, in order to fully comply with this paragraph, the board of trade must have—

(i)

unconstrained access to all trade and trader data regarding the virtual currency on the spot market platform; and

(ii)

the capability to provide the data to the Commission on request.

.