Digital Asset Legislation Gains Momentum with Federal and Congressional Action

A coordinated wave of digital asset legislation and regulatory guidance has reshaped the US crypto compliance landscape, according to an article by attorneys from Paul Hastings. At the federal level, the Office of the Comptroller of the Currency, Federal Reserve, and FDIC jointly issued long-anticipated guidance outlining core risk management principles for banks offering crypto-asset safekeeping. This includes clear expectations around key custody controls, third-party vendor oversight, and compliance with Bank Secrecy Act (BSA) and Office of Foreign Assets Control (OFAC) rules, offering clarity without introducing new regulatory burdens.

Simultaneously, Congress concluded a high-profile “Crypto Week” with the House passing three digital asset bills: the GENIUS Act, the CLARITY Act, and the Central Bank Digital Currency (CBDC) Anti-Surveillance State Act. The GENIUS Act was signed into law the following day, establishing the first comprehensive federal framework for payment stablecoins. The CLARITY Act and related Senate proposals continue to debate regulatory jurisdiction between the SEC and Commodity Futures Trading Commission (CFTC), highlighting ongoing structural uncertainty.

In parallel, the Senate Banking and Agriculture Committees are drafting separate digital asset market structure legislation. The Senate draft introduces the new category of “ancillary assets,” underscoring evolving definitional frameworks. Meanwhile, the House advanced appropriations bills limiting Treasury action on central bank digital currencies (CBDCs) and calling for further study of digital asset reserves.

Compliance professionals should note that while the GENIUS Act sets a precedent for stablecoin regulation, ongoing legislative divergence, particularly between the House and Senate, means a unified regulatory framework remains in flux. 

The article suggests that the regulatory guidance on safekeeping signals heightened federal scrutiny over custody practices, and the SEC’s consideration of exemptions for tokenization suggests more tailored oversight could emerge. Taken together, these developments represent a pivotal shift toward formalizing digital asset legislation and oversight structures in the US.