IIB 
117TH CONGRESS 
1ST SESSION H. R. 1602 
IN THE SENATE OF THE UNITED STATES 
APRIL 22, 2021 
Received; read twice and referred to the Committee on Banking, Housing, and 
Urban Affairs 
AN ACT 
To direct the Commodity Futures Trading Commission and 
the Securities and Exchange Commission to jointly estab-
lish a digital asset working group, and for other pur-
poses. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
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SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Eliminate Barriers to 
Innovation Act of 2021’’. 
SEC. 2. WORKING GROUP TO SUPPORT INNOVATION WITH 
RESPECT TO DIGITAL ASSETS. 
(a) ESTABLISHMENT.—Not later than 90 days after 
the date of the enactment of this section, the Securities 
and Exchange Commission and the Commodity Futures 
Trading Commission shall jointly establish a working 
group (to be known as the ‘‘SEC and CFTC Working 
Group on Digital Assets’’) to carry out the report required 
under subsection (c)(1). 
(b) MEMBERSHIP.— 
(1) IN GENERAL.—The Working Group shall be 
composed of members appointed in accordance with 
paragraph (2). 
(2) APPOINTMENT OF MEMBERS.— 
(A) 
REPRESENTATIVES
OF
COMMIS-
SIONS.—The Securities and Exchange Commis-
sion and the Commodity Futures Trading Com-
mission shall each appoint an equal number of 
employees of each such Commission to serve as 
members of the Working Group. 
(B) REPRESENTATIVES
OF
NONGOVERN-
MENTAL STAKEHOLDERS.— 
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(i) 
APPOINTMENT.—The 
Securities 
and Exchange Commission and the Com-
modity Futures Trading Commission shall 
each appoint an equal number of non-
governmental representatives to serve as 
members of the Working Group, except 
that such number of members may not be 
greater than or equal to the number of 
members appointed under subparagraph 
(A). 
(ii) REQUIRED MEMBERS.—The mem-
bers of the Working Group appointed 
under clause (i) shall include at least one 
representative from each of the following: 
(I) Financial technology compa-
nies that provide products or services 
involving digital assets. 
(II) Financial firms under the ju-
risdiction of the Securities and Ex-
change Commission or the Commodity 
Futures Trading Commission. 
(III) Institutions or organizations 
engaged in academic research or advo-
cacy relating to digital asset use. 
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(IV) Small businesses engaged in 
financial technology. 
(V) Investor protection organiza-
tions. 
(VI) Institutions and organiza-
tions that support investment in his-
torically-underserved businesses. 
(C) NO COMPENSATION FOR MEMBERS OF 
THE WORKING GROUP.— 
(i) FEDERAL EMPLOYEE MEMBERS.— 
All members of the Working Group ap-
pointed under subparagraph (A) shall 
serve without compensation in addition to 
that received for their services as officers 
or employees of the United States. 
(ii) 
NON-FEDERAL
MEMBERS.—All 
members of the Working Group appointed 
under subparagraph (B) shall serve with-
out compensation. 
(c) REPORT.— 
(1) IN GENERAL.—Not later than 1 year after 
the date of the enactment of this section, the Work-
ing Group shall submit to the Securities and Ex-
change Commission, the Commodity Futures Trad-
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ing Commission, and the relevant committees a re-
port that contains— 
(A) an analysis of— 
(i) the legal and regulatory framework 
and related developments in the United 
States relating to digital assets, includ-
ing— 
(I) the impact that lack of clarity 
in such framework has on primary 
and secondary markets in digital as-
sets; and 
(II) how the domestic legal and 
regulatory regimes relating to digital 
assets impact the competitive position 
of the United States; and 
(ii) developments in other countries 
related to digital assets and identification 
of how these developments impact the com-
petitive position of the United States; and 
(B) recommendations— 
(i) for the creation, maintenance, and 
improvement of primary and secondary 
markets in digital assets, including for im-
proving the fairness, orderliness, integrity, 
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efficiency, transparency, availability, and 
efficacy of such markets; 
(ii) for standards concerning custody, 
private key management, cybersecurity, 
and business continuity relating to digital 
asset intermediaries; and 
(iii) for best practices to— 
(I) reduce fraud and manipula-
tion of digital assets in cash, lever-
aged, and derivatives markets; 
(II) improve investor protections 
for participants in such markets; and 
(III) assist in compliance with 
anti-money laundering and countering 
the financing of terrorism obligations 
under the Bank Secrecy Act. 
(2) REPORT LIMITED TO SEC AND CFTC AU-
THORITIES.—The analysis and recommendations 
provided under subparagraphs (A) and (B) of para-
graph (1) may only relate to the laws, regulations, 
and related matters that are under the primary ju-
risdiction of the Securities and Exchange Commis-
sion or the Commodity Futures Trading Commis-
sion. 
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(d) NONAPPLICABILITY OF FACA.—The Federal Ad-
visory Committee Act (5 U.S.C. App.) shall not apply to 
the Working Group. 
(e) TERMINATION.— 
(1) IN GENERAL.—The Working Group shall 
terminate on the date that is 1 year after the date 
of the enactment of this section, except that the 
Chairman of the Securities and Exchange Commis-
sion and the Chairman of the Commodity Futures 
Trading Commission may, jointly, extend the Work-
ing Group for a longer period, not to exceed 1 year. 
(2) SECOND REPORT IN THE CASE OF EXTEN-
SION.—In the case of an extension of the Working 
Group under paragraph (1), the Working Group 
shall, not later than the last day of such extension, 
submit to the Securities and Exchange Commission, 
the Commodity Futures Trading Commission, and 
the relevant committees a report that contains an 
update to the analysis and recommendations re-
quired under subparagraphs (A) and (B) of sub-
section (c)(1). 
(f) DEFINITIONS.—In this section: 
(1) BANK SECRECY ACT.—The term ‘‘Bank Se-
crecy Act’’ means— 
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(A) section 21 of the Federal Deposit In-
surance Act (12 U.S.C. 1829b); 
(B) chapter 2 of title I of Public Law 91– 
508 (12 U.S.C. 1951 et seq.); and 
(C) subchapter II of chapter 53 of title 31, 
United States Code. 
(2) 
HISTORICALLY-UNDERSERVED
BUSI-
NESSES.—The term ‘‘historically-underserved busi-
nesses’’ means women-owned businesses, minority- 
owned businesses, and rural businesses. 
(3) RELEVANT COMMITTEES.—The term ‘‘rel-
evant committees’’ means— 
(A) the Committee on Financial Services 
of the House of Representatives; 
(B) the Committee on Banking, Housing, 
and Urban Affairs of the Senate; 
(C) the Committee on Agriculture of the 
House of Representatives; and 
(D) the Committee on Agriculture, Nutri-
tion, and Forestry of the Senate. 
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(4) WORKING
GROUP.—The term ‘‘Working 
Group’’ means the working group established under 
subsection (a). 
Passed the House of Representatives April 20, 2021. 
Attest: 
CHERYL L. JOHNSON, 
Clerk. 
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