House lawmakers are targeting a mid-May markup of the crypto market structure bill, which would assign regulatory jurisdiction over digital assets between the SEC and CFTC. Progress is complicated by unresolved ethics disputes and scrutiny over Trump administration ties to crypto ventures, which have stalled bipartisan support. The bill's asset classification framework remains one of the most contested provisions.
For Armada's crypto desk, the bill's treatment of BTC, ETH, SOL, and HYPE as either securities or commodities determines which regulatory regime governs their use as repo collateral. A securities classification for any of these assets would introduce registration and transfer restrictions that could impair collateral enforceability. Legal should be briefed on classification scenarios before the markup date.