WASHINGTON—Senate leadership is prioritizing the Digital Asset Market Clarity Act this week. The bill would definitively classify digital assets as either securities or commodities, setting up a power shift between the Securities and Exchange Commission and the Commodity Futures Trading Commission.
The bill's passage would determine regulatory jurisdiction over much of the crypto industry. Companies like Coinbase, which operates under SEC oversight for its listed tokens, face different compliance burdens than firms focused on commodity derivatives. A clear framework brings certainty—but also picks winners and losers.
Lobbying efforts intensified ahead of committee action. The Blockchain Association spent $1.8 million in the first half of 2026 advocating for commodity classification for most digital assets, according to OpenSecrets filings. Traditional financial institutions, through groups like the Securities Industry and Financial Markets Association, pushed for broader SEC authority.
SEC Chairman Paul Atkins has consistently argued for his agency's jurisdiction over most crypto tokens, citing investor protection concerns. CFTC leaders maintain their expertise in commodity markets is better suited for decentralized assets. The Senate Banking Committee will review the bill Wednesday.
If more assets fall under the CFTC, new derivatives products could emerge faster. If the SEC gains broader control, the industry expects a slower, compliance-heavy path for new listings and offerings—one that favors established players with larger legal budgets.
President Trump's administration has largely supported innovation in the digital asset space, but Treasury Secretary Scott Bessent has emphasized the need for robust consumer safeguards. The bill's language reflects a compromise attempt, but key definitions around digital asset classification remain contested.
