Crypto banking rule withdrawal by Fed ‘not real progress’ — Senator Lummis
Senator Cynthia Lummis criticized the US Federal Reserve's recent decision to withdraw its 2022 supervisory letter discouraging banks from engaging with crypto, labeling it as "noise" and "lip service." She expressed concerns that the Fed continues to violate laws regarding master accounts and relies on reputational risk in bank supervision. Lummis pointed out that the Fed's policy still deems Bitcoin and digital assets as "unsafe and unsound." She emphasized that the same personnel involved in Operation Chokepoint 2.0 are still shaping crypto policy. Lummis vowed to hold the Fed accountable for better support of the digital asset industry. In contrast, some crypto executives viewed the Fed's announcement positively, suggesting it would enable banks to support Bitcoin and facilitate institutional adoption.
