S.Amdt. 4349

SA 4349. Mr. DURBIN submitted an amendment intended to be proposed by

[[Page S893]]

him to the bill H.R. 6644, a bill to increase the supply of housing in
America, and for other purposes; which was ordered to lie on the table;
as follows:

At the appropriate place, insert the following:

SEC. ___. PROHIBITION ON BAILOUTS OF DIGITAL ASSET MARKET
PARTICIPANTS.

(a) Definitions.--In this section:
(1) Decentralized finance trading protocol.--The term
``decentralized finance trading protocol'' means a blockchain
system through which multiple participants can execute a
financial transaction--
(A) in accordance with an automated rule or algorithm that
is predetermined and non-discretionary; and
(B) without reliance on any other person to maintain
control of the digital assets of the user during any part of
the financial transaction.
(2) Digital asset intermediary.--The term ``digital asset
intermediary'' means any person that provides services that
are financial in nature, as defined in section 4(k)(4) of the
Bank Holding Company Act (12 U.S.C. 1843(k)(4)), with respect
to any digital asset.
(3) Financial service provider.--The term ``financial
service provider'' means a financial service provider that is
regulated by a Federal banking agency, as defined in section
3 of the Federal Deposit Insurance Act (12 U.S.C. 1813).
(4) GENIUS act terms.--The terms ``digital asset'',
``digital asset service provider'', and ``distributed ledger
protocol'' have the meanings given those terms, respectively,
in section 2 of the GENIUS Act (12 U.S.C. 5901).
(b) Prohibition on Financial Assistance.--A Federal agency
may not provide financial assistance to a digital asset
intermediary, digital asset service provider, distributed
ledger protocol, decentralized finance trading protocol, or
financial service provider with respect to digital asset
activities, to prevent the failure or bankruptcy of the
digital asset commodity intermediary.
(c) Emergency Liquidity Facilities.--A digital asset
intermediary, digital asset service provider, distributed
ledger protocol, decentralized finance trading protocol, or
financial service provider with respect to digital asset
activities may not have access to any emergency liquidity
facility established under section 13(3) of the Federal
Reserve Act ( 12 U.S.C. 343).
(d) Exchange Stabilization Fund.--The Secretary of the
Treasury may not use any amounts in the Exchange
Stabilization Fund established under section 5302 of title
31, United States Code, for the benefit of any digital asset
intermediary, digital asset service provider, distributed
ledger protocol, decentralized finance trading protocol or
financial service provider with respect to digital asset
activities.
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