Quiet Student, Loud Thoughts: “In your analysis, please explain the effects this draft legislation will have on:” economic prosperity, financial stability, and the competitiveness, resilience, and integrity of the financial system, wrote Maxine Waters to Secretary Yellen. Big asks are left for big issues – crypto is one of them (again). The questions are cast with caution as the Digital Asset Market Structure Bill is moving. And all politics are local – Waters asked the Treasury and SEC for their perspective, not the CFTC, who would be granted exclusive regulatory jurisdiction over digital asset spot markets. A Digital Commodity Exchange would be established for the trading of crypto assets. The new exchanges would be subject to regulations like those in existing futures and swaps markets. Consumer protections would be to the same standard as registered CFTC entities. Our attention is less on the skepticism and more on the urgency of SEC and Treasury responses. There is a great push to get the Market Structure Bill passed around the same time as the simpler stablecoin legislation. From nothing to something. If we’ve learned nothing else in the past month, it’s that US regulatory pronouncements matter. Forks of bitcoin have surged in value, deemed safe from regulatory intervention. Bitcoin Cash is up more than 50% in the past week alone, despite only faint beats in our fundamental Digital Pulse most of this year. But any teacher should be alert to the quiet student in the back row – like the CFTC. Speak softly and carry loud thoughts.