Biden Vetoes Repeal of Controversial Crypto Guidelines, Sparking Criticism from Senator Lummis

United States President Joe Biden has missed the chance to “correct” his stance on cryptocurrency assets by vetoing the repeal of controversial cryptocurrency accounting guidelines, claims pro-crypto U.S. Senator Cynthia Lummis.

“Congress gave the administration the opportunity to correct its position on crypto assets,” Lummis stated on May 31 on X, after Biden vetoed a Congressional resolution aimed at overturning the U.S. Securities and Exchange Commission (SEC) Staff Accounting Bulletin (SAB) No. 121.

Lummis argued that Biden acted against the “will of the American people” by preventing the repeal of these guidelines. She emphasized her determination to continue addressing the issue.

“I will not stand idly by as the administration attempts to skirt the law, and I will continue to fight to promote financial innovation and key protections for crypto assets this administration seems hellbent on stifling,” Lummis wrote.

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The SAB 121 guidelines require firms holding customers’ crypto assets in custody to record them as a liability on their balance sheet, with a corresponding asset, making it a less attractive option for publicly reporting banks.

Lummis’s statement came just hours after she sent a letter to Biden urging him not to veto the Congressional repeal of the SEC’s SAB 121.

“By inappropriately issuing guidance instead of engaging in notice and comment rulemaking, the SEC’s rulemaking was able to avoid a vote by the full commission on a contentious policy,” Lummis wrote.

Despite the House of Representatives and Senate votes favoring the repeal of the controversial guidelines, support for cryptocurrency is increasing among Senators.

Republican Senator Ted Cruz, another pro-crypto official, shared with his 6.3 million X followers that he has begun Bitcoin mining.

“I just bought 3 Bitcoin miners that started hashing today in Iraan, TX. I’m proud to join the ranks of Texas Bitcoin miners,” Cruz wrote in a May 31 X post.

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