,i  #aah? ,,congress  #b;d ,session  ,h4
 ,r4 #ajedd  ,,9 ,,! ,,h\se ,,(         
,,repres5tatives  ,decemb] #bj1         
#bjbd,mr4 ,timmons 7= himself & ,mr4    
,torres ( ,new ,york7 introduc$ ! foll[+
 bill2 :i* 0 ref]r$ to ! ,committee on  
,f9ancial ,s]vices  ,a ,,bill  ,to      
specify ! treatm5t ( cov]$ non-fungible 
tok5s "u ! securities laws1 & = o!r     
purposes4  #a4 ,%ort title ,?is ,act may
 be cit$ z ! ,new ,fronti]s 9 ,te*nology
 ,act4  #b4 ,treatm5t ( cov]$           
non-fungible tok5s "u ! securities laws 
7a7 ,9 g5]al ,= purposes ( ! securities 
laws-- 7#a7 a cov]$ non-fungible tok5 is
 n an inve/m5t contract2 &  7#b7 an (f] 
or sale ( a cov]$ non-fungible tok5 is n
 a transaction 9 a security4  7b7       
,def9itions ,9 ?is section & section #c3
 7#a7 ,cov]$ non-fungible tok5  7,a7 ,9 
g5]al ,! t]m cov]$ non-fungible tok5    
means any non-fungible tok5 :i* 0       
develop$ prim>ily = p]sonal1 family1 or 
h\sehold consumption1 includ+-- 7i7 a "w
 ( art1 musical composition1 lit]>y "w1 

or o!r intellectual prop]ty2  7ii7 a    
collectible1 m]*&ise1 virtual l&1 or    
video game asset2  7iii7 a digital      
id5tifi] or o!r c]tificate or cr$5tial2 
7iv7 an aff9ity1 rew>d1 or loyalty po9t2
 or  7v7 a "r1 lic5se1 memb]%ip1 or     
ticket4  7,b7 ,exclusion ,! t]m cov]$   
non-fungible tok5 does n include a      
non-fungible tok5 t is m>ket$ by an     
issu] or promot]-- 7i7 prim>ily z an    
inve/m5t opportunity2 or  7ii7 t        
promises future actions or a s]ies (    
actions design$ explicitly & = ! purpose
 ( increas+ ! value ( ! cov]$           
non-fungible tok54  7#b7 ,non-fungible  
tok5  7,a7 ,9 g5]al ,! t]m non-fungible 
tok5 means any asset-- 7i7 :i* is ( su* 
uniqu5ess or limit$ production t x c be 
indep5d5tly assess$ or id5tifi$2  7ii7  
:i* is repres5t$ by a unique digital    
id5tifi]2  7iii7 ! record ( own]%ip (   
:i* is record$ on a cryptographically   
secur$ public di/ribut$ l$g]2  7iv7     
:i*-- 7,i7 is a digital equival5t ( a   
tangible or intangible good2 or  7,,ii7 

has "s o!r inh]5t function beyond ! fact
 t ! record ( own]%ip ( ! asset is      
record$ on a cryptographically secure   
public di/ribut$ l$g]2 &  7v7 ! record (
 :i* c be exclusively possess$ &        
transf]r$1 p]son to p]son1 )\t necess>y 
reliance on an int]m$i>y4  7,b7         
,exclusions ,! t]m non-fungible tok5    
does n include-- 7i7 any note1 /ock1    
treasury /ock1 security future1         
security-bas$ swap1 bond1 deb5ture1     
evid5ce ( indebt$ness1 c]tificate (     
int]e/ or p>ticipation 9 any pr(it-%>+  
agreem5t1 collat]al-tru/ c]tificate1    
preorganization c]tificate or           
subscription1 transf]able %>e1 put1     
call1 /raddle1 option1 privilege on any 
security1 c]tificate ( deposit1 or gr\p 
or index ( securities 7includ+ any      
int]e/ !re9 or bas$ on ! value !re(72 or
  7ii7 any asset :i*1 bas$ on its t]ms &
 o!r *>act]i/ics1 is1 repres5ts1 or is  
functionally equival5t to an agreem5t1  
contract1 or transaction t is-- 7,i7 a  
contract ( sale ( a commodity 7z def9$  

"u section #a;a ( ! ,commodity ,ex*ange 
,act7 = future deliv]y or an option     
!reon2  7,,ii7 a security futures       
product2  7,,iii7 a swap2  7,,iv7 an    
agreem5t1 contract1 or transaction      
describ$ 9 section #b7;c77#b77;,c77i7 or
 #b7;c77#b77;,d77i7 ( ! ,commodity      
,ex*ange ,act2  7,v7 a commodity option 
au?oriz$ "u section #d;c ( ! ,commodity 
,ex*ange ,act2 or  7,,vi7 a lev]age     
transaction au?oriz$ "u section #ai ( ! 
,commodity ,ex*ange ,act4  7,c7 ,rule ( 
con/ruction ,no?+ 9 ?is subsection may  
be con/ru$ to create a presumption t a  
non-fungible tok5 is a repres5tation (  
any type ( security n exclud$ f !       
def9ition "u subp>agraph 7,b74  7#c7    
,securities laws ,! t]m securities laws 
has ! mean+ giv5 t t]m 9 section #c7;a7 
( ! ,securities ,ex*ange ,act ( #aicd4  
#c4 ,/udy on non-fungible tok5s  7a7 ,9 
g5]al ,! ,comptroll] ,g5]al ( ! ,unit$  
,/ates %all c>ry out a /udy (           
non-fungible tok5s t analyzes-- 7#a7 !  
nature1 size1 role1 purpose1 & use (    

non-fungible tok5s2  7#b7 ! simil>ities 
& diff]5ces betwe5 non-fungible tok5s & 
o!r digital assets1 includ+ paym5t      
/ableco9s1 & h[ ! m>kets = ^? digital   
assets int]sect ) ea* o!r2  7#c7 h[     
non-fungible tok5s are m9t$ by issu]s & 
subsequ5tly adm9i/]$ to pur*as]s2  7#d7 
h[ non-fungible tok5s are /or$ aft] be+ 
pur*as$ by a consum]2  7#e7 !           
int]op]ability ( non-fungible tok5s     
betwe5 diff]5t block*a9 sy/ems2  7#f7 ! 
scalability ( diff]5t non-fungible tok5 
m>ketplaces2  7#g7 ! b5efits (          
non-fungible tok5s1 includ+ v]ifiable   
digital own]%ip2  7#h7 ! risks (        
non-fungible tok5s1 includ+-- 7,a7      
intellectual prop]ty rights2  7,b7      
cyb]security risks2 &  7,c7 m>ket risks2
  7#i7 :e!r & h[ non-fungible tok5s h   
integrat$ ) traditional m>ketplaces1    
includ+ ^? = music1 real e/ate1 gam+1   
ev5ts1 & travel2  7#aj7 :e!r            
non-fungible tok5s c be us$ to          
facilitate comm]ce or o!r activities    
?r\gh ! repres5tation ( docum5ts1       

id5tification1 contracts1 lic5ses1 & o!r
 comm]cial1 gov]nm5t1 or p]sonal        
records2  7#aa7 any pot5tial risks to   
traditional m>kets f su* integration2 & 
7#ab7 ! levels & types ( illicit        
activity 9 non-fungible tok5 m>kets4    
7b7 ,report ,n lat] ?an #a ye> aft] !   
date ( ! enactm5t ( ?is ,act1 !         
,comptroll] ,g5]al %all make publicly   
available a report t includes ! results 
( ! /udy requir$ by subsection 7a74