Democrats reportedly seek greater SEC control over crypto after CLARITY Act collapse
House Democrats are reportedly developing a crypto market-structure bill that may draw on Rep. Maxine Waters’ 2025 investor-protection amendment. That proposal required withdrawals within 24 hours, segregated customer assets, verified reserves, consent for lending or staking, customer-first order handling, breach notices and protection against certain losses. It was rejected by a House committee and is not current law. A September Senate compromise included customer-protection principles, CFTC spot-market oversight and ethics provisions, but failed a 49-50 cloture vote. Democratic staff have not released a successor bill, leaving unresolved how authority would be split between the SEC and CFTC, what obligations platforms would face, and how ethics and stablecoin rules would be handled.
