TechFlow news, on October 28, blockchain infrastructure firm Blockdaemon released a new research report stating that as the 2024 U.S. presidential election approaches, the digital asset regulatory landscape is poised for breakthrough progress in 2025. The report highlights two key regulatory policies currently advancing through the legislative process: the proposal to repeal SAB 121, and the landmark "Financial Innovation and Technology for the 21st Century Act" (FIT21).
The FIT21 Act passed the House of Representatives in May 2024 with bipartisan support. Its core provisions include clearly defining the regulatory boundaries between the SEC and CFTC, establishing criteria for classifying digital assets as commodities or securities, and creating a legal framework for financial institutions to provide digital asset custody services. Blockdaemon predicts that, backed by strong bipartisan support, a version of the FIT21 Act is likely to pass the Senate and be signed into law in 2025, positioning the U.S. to lead in balancing innovation with consumer risk protection.
Previous report, last month the SEC granted a SAB 121 exemption to Bank of New York, and similar exemptions are expected for other financial institutions.
