Regulation
Biden’s Crypto Policies Are Shaking Up the Crypto Community, But ‘There’s Still a Long Way to Go,’ Expert Says – Coinbase Glb (NASDAQ:COIN)
Scott Johnson of Van Buren Capital On Friday, he highlighted the numerous regulatory actions taken by the Biden administration and Democrats, which he said are stifling the growth of the cryptocurrency industry.
J.What happened: Johnsson’s commentary includes expanded definitions of securities, enforcement actions against major crypto entities, and various political maneuvers that could significantly impact the industry.
What the Dems/Biden Admin STILL Does:
– OCC refuses to adopt Brian Brooks’ “fair access” banking rule to prohibit federally chartered banks from denying financial services such as loans to potential customers for political or ideological reasons.
– Coercive measures against…–Scott Johnsson (@SGJohnsson) May 30, 2024
Key points of contention include the Office of the Comptroller of the Currency’s (OCC) refusal to implement the “fair access” banking rule, the SEC’s aggressive enforcement actions against Coinbase Inc. (NASDAQ:PIECE OF MONEY), Binance (CRYPTO: BNB), And Krakenand issuing well notices to leading companies like Consensys And Uniswap Labs (CRYPTO: United).
Additionally, the SEC’s new rules integrate decentralized finance (DeFi) into expansive regulatory frameworks, which Johnsson says have been applied without adequate compliance with the Administrative Procedures Act.
Additionally, Johnsson criticizes Treasury for inserting “broker” language into must-pass legislation without debate, leading to IRS rules that he says violate constitutional amendments and risk banning DeFi in the United States .
It also highlights the Department of Justice’s (DOJ) actions against crypto privacy tools such as Tornado Cash and Samurai Wallet, viewing them as excesses that threaten innovation and privacy.
The Federal Reserve and other banking regulators have also been criticized.
Johnsson notes the Federal Reserve’s denial of crypto bank Custodia’s application for membership and master account, as well as joint statements from the Federal Reserve, FDIC, and OCC warning of risks associated with banks that engage in crypto assets.
These actions, he suggests, contribute to an environment in which banks are discouraged from dealing with cryptocurrencies, despite a growing number of Americans using digital assets.
Johnson concludes that there is “a long way to go before anyone in this space has confidence that Democrats are actually turning the corner.”
Read also: Bitcoin Spot ETFs See $48 Million Inflow as Ethereum Spot ETF Trading Closes In
Experts offer varied perspectives
Leona HiokiCo-founder of INTMAXhighlights the importance of preserving privacy while preventing criminal abuse, suggesting that governments and cryptographers should cooperate without compromising the privacy of individuals.
Eskil TsuCo-founder of GoPlussupports transparency but emphasizes the need for balanced regulation that does not stifle privacy or innovation.
Iva WisherCo-founder and COO of Promrecognizes the need for regulatory frameworks, indicating that Brian Nelson’s recent comments on crypto mixers reflect a balanced approach to market transparency and the health of the financial system.
As the regulatory environment evolves, industry leaders and policymakers will converge at the Benzinga Future of Digital Assets event on November 19.
This event will provide a platform for in-depth discussions on these issues, offering insight into the future of digital asset regulation and its implications. implications for the crypto industry.
Read next: ‘Crypto Mom’ Hester Peirce Proposes US-UK ‘Digital Securities Sandbox’ for Blockchain Innovation
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