Title: Keep Big Tech Out Of Finance Act
Policy area: Finance and Financial Sector

Summary:
Keep Big Tech Out Of Finance Act
This bill generally prohibits certain large technology companies (e.g., social media platforms) from offering financial services. Specifically, these companies may not be a financial institution; be affiliated with a financial institution; or establish, maintain, or operate a digital currency.
The bill provides for a one-year wind-down period for a company engaging in these prohibited activities.

[Congressional Bills 116th Congress]
[From the U.S. Government Publishing Office]
[H.R. 4813 Introduced in House (IH)]

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116th CONGRESS
  1st Session
                                H. R. 4813

To prohibit large platform utilities from being a financial institution 
or being affiliated with a person that is a financial institution, and 
                          for other purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                            October 23, 2019

    Mr. Garcia of Illinois introduced the following bill; which was 
referred to the Committee on Financial Services, and in addition to the 
Committee on Agriculture, for a period to be subsequently determined by 
the Speaker, in each case for consideration of such provisions as fall 
           within the jurisdiction of the committee concerned

_______________________________________________________________________

                                 A BILL


 
To prohibit large platform utilities from being a financial institution 
or being affiliated with a person that is a financial institution, and 
                          for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Keep Big Tech Out Of Finance Act''.

SEC. 2. PROHIBITION RELATED TO LARGE PLATFORM UTILITIES.

    (a) In General.--A large platform utility may not be, and may not 
be affiliated with any person that is, a financial institution.
    (b) Prohibition Related to Cryptocurrencies.--
            (1) In general.--A large platform utility may not 
        establish, maintain, or operate a digital asset that is 
        intended to be widely used as medium of exchange, unit of 
        account, store of value, or any other similar function, as 
        defined by the Board of Governors of the Federal Reserve 
        System.
            (2) Definitions.--For purposes of paragraph (1), the Board 
        of Governors of the Federal Reserve System shall define the 
        terms ``medium of exchange'', ``unit of account'', and ``store 
        of value''.
    (c) Wind-Down Period.--With respect to a large platform utility--
            (1) if the large platform utility is, or is affiliated with 
        a person that is, a financial institution on the date of 
        enactment of this Act, subsection (a) shall not apply to such 
        large platform utility until the end of the 1-year period 
        beginning on the date of enactment of this Act; and
            (2) if the large platform utility maintains or operates a 
        digital asset described under subsection (b)(1) on the date of 
        enactment of this Act, subsection (b) shall not apply to such 
        large platform utility until the end of the 1-year period 
        beginning on the date of enactment of this Act.
    (d) Penalty.--Any large platform utility or financial institution 
that violates subsection (a) or (b) shall be subject to a fine of not 
more than $1,000,000 per each day of such violation, in an action 
brought by the appropriate Federal financial regulator.
    (e) Rulemaking.--The appropriate Federal financial regulators may 
issue rules to carry out this section.
    (f) Definitions.--In this section:
            (1) Affiliate.--The term ``affiliate'' has the meaning 
        given that term under section 2 of the Bank Holding Company Act 
        of 1956.
            (2) Alternative trading system.--The term ``alternative 
        trading system'' has the meaning given that term under section 
        242.300 of title 17, Code of Federal Regulations.
            (3) Appropriate federal financial regulator.--The term 
        ``appropriate Federal financial regulator'' means--
                    (A) the appropriate Federal banking agency;
                    (B) the Commodity Futures Trading Commission, in 
                the case of a commodity pool operator, commodity 
                trading advisor, and a futures commission merchant;
                    (C) the National Credit Union Administration Board, 
                in the case of a credit union;
                    (D) the Securities and Exchange Commission, in the 
                case of an alternative trading system, a broker, a 
                dealer, an investment adviser, an investment company, a 
                national securities exchange, and a private fund; and
                    (E) the Board of Governors of the Federal Reserve 
                System, in the case of a financial institution or a 
                large platform utility that does not otherwise have an 
                appropriate Federal financial regulator under 
                subparagraph (A) through (D).
            (4) Banking definitions.--The terms ``appropriate Federal 
        banking agency'', ``depository institution'', and ``depository 
        institution holding company'' have the meaning given those 
        terms, respectively, under section 3 of the Federal Deposit 
        Insurance Act.
            (5) Commodities definitions.--The terms ``commodity pool 
        operator'', ``commodity trading advisor'', and ``futures 
        commission merchant'' have the meaning given those terms, 
        respectively, under section 1a of the Commodity Exchange Act.
            (6) Credit union.--The term ``credit union'' means a 
        Federal credit union or a State credit union, as such terms are 
        defined, respectively, under section 101 of the Federal Credit 
        Union Act.
            (7) Digital asset.--The term ``digital asset'' means an 
        asset that is issued and transferred using distributed ledger 
        or blockchain technology, including, so-called ``virtual 
        currencies'', ``coins'', and ``tokens''.
            (8) Financial institution.--The term ``financial 
        institution'' means--
                    (A) an alternative trading system;
                    (B) a branch or agency of a foreign bank, as 
                defined in section 1(b) of the International Banking 
                Act of 1978;
                    (C) a broker;
                    (D) a commodity pool operator;
                    (E) a commodity trading advisor;
                    (F) a credit union;
                    (G) a dealer;
                    (H) a depository institution;
                    (I) a depository institution holding company;
                    (J) a futures commission merchant;
                    (K) an investment adviser;
                    (L) an investment company;
                    (M) a national securities exchange;
                    (N) an organization operating under section 25 or 
                25A of the Federal Reserve Act;
                    (O) a private fund;
                    (P) a State-licensed money services business; and
                    (Q) any company engaged in activities that are 
                financial in nature or incidental to a financial 
                activity, as described in section 4 of the Bank Holding 
                Company Act of 1956.
            (9) Large platform utility.--The term ``large platform 
        utility'' means a technology company--
                    (A) with an annual global revenue of 
                $25,000,000,000 or more; and
                    (B) that is predominately engaged in the business 
                of offering to the public an online marketplace, an 
                exchange, or a platform for connecting third parties.
            (10) Money services business.--The term ``money services 
        business'' has the meaning given that term under section 
        1010.100 of title 31, Code of Federal Regulations.
            (11) Private fund.--The term ``private fund'' has the 
        meaning given that term under section 202(a) of the Investment 
        Advisers Act of 1940.
            (12) Securities definitions.--The terms ``broker'', 
        ``dealer'', ``investment adviser'', ``investment company'', and 
        ``national securities exchange'' have the meaning given those 
        terms, respectively, under section 3 of the Securities Exchange 
        Act of 1934.
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