S.Amdt. 2350

SA 2350. Mr. MERKLEY (for himself and Mr. Bennet) submitted an
amendment intended to be proposed to amendment SA 2307 proposed by Mr.
Hagerty (for himself and Mrs. Gillibrand) to the bill S. 1582, to
provide for the regulation of payment stablecoins, and for other
purposes; which was ordered to lie on the table; as follows:

Strike section 4(i) and insert the following:
(i) Rules of Construction.--Nothing in this Act shall be
construed as expanding the authority of the Board with
respect to the services the Board can make directly available
to the public.
(j) Preventing Cryptocurrency Corruption.--

[[Page S3321]]

(1) Definitions.--In this subsection--
(A) the term ``covered cryptocurrency'' means any
cryptocurrency, meme coin, token, non-fungible token, payment
stablecoin, or other digital asset that is sold for
remuneration;
(B) the term ``covered former special Government employee''
means an individual who--
(i) served as a special Government employee associated with
the Executive Office of the President on or after January 1,
2024; and
(ii) ceased to serve as a special Government employee
associated with the Executive Office of the President during
the period beginning on January 2, 2024 and ending on the day
before the date of enactment of this Act;
(C) the term ``covered individual'' means--
(i) the President;
(ii) the Vice President;
(iii) a Member of Congress;
(iv) an individual appointed to a Senate-confirmed
position;
(v) a special Government employee associated with the
Executive Office of the President; or
(vi) a covered former special Government employee;
(D) the term ``directly'' means by virtue of the ownership
or beneficial interest of a covered individual, or the spouse
or child of a covered individual, in an issuer of a covered
cryptocurrency;
(E) the term ``indirectly'' means by virtue of the
financial interest of a covered individual, or the spouse or
child of a covered individual, in a business entity,
partnership interest, company, investment fund, trust, or
other third party in which the covered individual, or the
spouse or child of a covered individual, has an ownership or
beneficial interest;
(F) the term ``Member of Congress'' has the meaning given
that term in section 13101 of title 5, United States Code;
(G) the term ``promote'' includes the use of the name and
likeness of a covered individual in any marketing materials,
including in the title of the covered cryptocurrency; and
(H) the term ``special Government employee'' has the
meaning given the term in section 202(a) of title 18, United
States Code.
(2) Prohibition.--
(A) In general.--It shall be unlawful for any covered
individual described in clauses (i) through (v) of paragraph
(1)(C), or any spouse or child of any such covered
individual, to directly or indirectly own, control, promote
in exchange for anything of value, or affiliate with any
issuer of a covered cryptocurrency or any entity that
provides custodial or safekeeping services for covered
cryptocurrencies.
(B) Covered former special government employees.--It shall
be unlawful for any covered former special Government
employee, or any spouse or child of a covered special
Government employee, to directly or indirectly own, control,
promote in exchange for anything of value, or affiliate with
any issuer of a covered cryptocurrency or any entity that
provides custodial or safekeeping services for covered
cryptocurrencies during the 1-year period beginning on the
last day of service of the covered former special Government
employee as a special Government employee associated with the
Executive Office of the President.
(3) Transition.--Any individual in violation of
subparagraph (A) or (B) of paragraph (2) on the date of
enactment of this Act shall, not later than 90 days after the
date of enactment of this Act, come into compliance with the
prohibition under that paragraph.
(4) Enforcement.--
(A) In general.--Beginning on the date that is 90 days
after the date of enactment of this Act, a violation of
paragraph (2) shall be punishable by not more than 5 years in
prison and fines of not more than 3 times the monetary value
of any earnings related to the violation.
(B) Not an official act.--A violation of paragraph (2)(A)
shall not be deemed an official act if committed by any
covered individual described in clauses (i) through (v) of
paragraph (1)(C) who is in office at the time of the
violation.
(C) Statute of limitations.--No person shall be prosecuted,
tried, or punished for any offense under this subsection
unless the indictment for such offense is found, or the
information for such offense is instituted, not later than 15
years after the date on which the offense was committed.
(k) Financial Disclosure Reports.--Section 13104(b) of
title 5, United States Code, is amended--
(1) by redesignating paragraph (2) as paragraph (3); and
(2) by inserting after paragraph (1) the following:
``(2) Disclosure relating to covered cryptocurrency
involvement.--
``(A) Definitions.--In this paragraph:
``(i) Covered cryptocurrency.--The term `covered
cryptocurrency' means any cryptocurrency, meme coin, token,
non-fungible token, payment stablecoin, or other digital
asset that is sold for remuneration.
``(ii) Directly.--The term `directly' means by virtue of
the ownership or beneficial interest of a reporting
individual, or the spouse or child of a reporting individual,
in a covered cryptocurrency issuer.
``(iii) Indirectly.--The term `indirectly' means by virtue
of the financial interest of a reporting individual, or the
spouse or child of a reporting individual, in a business
entity, partnership interest, company, investment fund,
trust, or other third party in which the reporting
individual, or the spouse or child of a reporting individual,
has an ownership or beneficial interest.
``(iv) Payment stablecoin.--The term `payment stablecoin'
has the meaning given the term in section 2 of the GENIUS
Act.
``(v) Promote.--The term `promote' includes the use of the
name and likeness of a reporting individual in any marketing
materials, including in the title of the covered
cryptocurrency.
``(B) Requirement.--Each report filed pursuant to
subsections (b) and (c) of section 13103 shall include a
statement of whether the reporting individual, or the spouse
or child of the reporting individual, as of the filing date,
directly or indirectly owns, controls, promotes in exchange
for anything of value, or affiliates with any covered
cryptocurrency issuer or any entity that provides custodial
or safekeeping services for covered cryptocurrencies.''.
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