Market structure legislation
Market structure legislation defines which digital assets count as securities, which count as commodities, and which authority supervises each.
Explained simply
The hardest question in crypto regulation is not whether to regulate but who is in charge. A security falls under the securities regulator, a commodity under the commodities regulator. That determines the duties of exchanges, custodians and issuers.
Market structure legislation draws that line and sets out the consequences: licensing of trading venues, segregation of client assets, disclosure duties and investor protection.
Europe took this step with MiCA in 2023. In the United States the question sat with courts and agencies for years. The bill there is called the CLARITY Act and failed in the Senate in September 2026.
From the familiar world
Think of road traffic law. It does not say whether someone may drive; it defines what a car is, what a lorry is, who needs which licence and who enforces it. Without that classification the same unclear rule applies to everyone.
An example
When such legislation fails, no rule-free space appears. Instead supervisory authorities fill the gap with their own rules and exemptions. That is faster but less durable: a regulation can be withdrawn by a later administration, a statute cannot be undone so easily.
Why it matters
For investors and advisers the classification of a digital asset underpins everything else: prospectus duties, custody, distribution and tax treatment all depend on it. Where it is missing, institutional providers hold back.
To pass on
„Market structure legislation sorts digital assets into securities and commodities and names the supervisor. Without that sorting, everything else lacks a foundation.“
The content of this wiki is for general information and educational purposes only. It does not constitute investment advice, an investment recommendation or tax or legal advice. Digital assets are subject to strong price fluctuations and can lead to losses up to a total loss. Content as of 2026, no guarantee of completeness or timeliness.
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