Prohibition on indirect participation through intermediaries and beneficial ownership

(a) Anti-Evasion rule A covered individual may not take any action prohibited by this Act through any trust, corporation, partnership, limited liability company, unincorporated association, political committee, nonprofit organization, or other entity or person, including any digital wallet or protocol, if such covered individual— (1) directly or indirectly exercises control over such entity; (2) acts through such entity as a beneficial owner; or (3) has received or expects to receive compensation, financial benefit, or influence as a result of the entity’s engagement in digital asset activities described in this Act. (b) Definition of beneficial owner In this section, and with respect to an entity, the term beneficial owner includes any individual who, directly or indirectly— (1) has a financial interest in, or receives material benefit from a digital asset issuer; (2) has the ability to influence, direct, or control decisions of such entity or digital asset activity, whether formal or informal; (3) has any ownership interest of 5 percent or more in such entity, including through trusts, nominee arrangements, or contractual rights; or (4) is a grantor, trustee, or beneficiary of a trust that holds such interests. (c) Look-Through requirement Any prohibition or disclosure requirement in this Act shall apply to covered individuals with respect to any digital asset held indirectly or through any arrangement intended to conceal beneficial ownership or control.