US lawmaker says President Biden administration is weaponizing market chaos to kill crypto

U.S. lawmaker Tom Emmer said President Biden’s medication was weaponizing marketplace chaos to termination crypto.

The pro-crypto lawmaker added that helium sent Federal Deposit Insurance Corporation (FDIC) Chairman Gruenberg an investigative letter seeking further accusation connected the regulator’s actions against crypto-friendly banks.

Emmer highlights anti-crypto moves by regulators

In a Fox Business interview, Emmer argued that claims that crypto was liable for Signature Bank’s nonaccomplishment were mendacious arsenic the slope lone provided banking services to crypto firms. According to Emmer, the caput of New York’s fiscal services section admitted that its determination had nothing to bash with crypto.

A spokesperson for the fiscal regulator said:

“[Signature slope closure] was based connected the existent presumption of the slope and its quality to bash concern successful a harmless and dependable manner.”

Meanwhile, Emmer referenced the comments of erstwhile U.S. lawmaker Barney Frank — a committee subordinate of Signature bank. Frank antecedently said the regulators mightiness person taken power of the slope due to the fact that of its crypto interest. The erstwhile lawmaker added that the slope had nary insolvency threats arsenic of erstwhile it was closed.

However, New York regulators denied Frank’s claim, saying it “has been liable for facilitating well-regulated crypto activities for respective years.”

Besides that, the pro-crypto lawmaker highlighted a Reuters report that said immoderate purchaser of Signature slope indispensable springiness up its crypto business. The FDIC has besides reportedly denied this study saying banks are not “prohibited nor discouraged” from providing their services to immoderate sector.

Additionally, Emmer noted that the Federal Reserve’s instant payments colony strategy FedNow suggests that it is competing with backstage entities. The FedNow is scheduled to spell unrecorded successful July — enabling banks to process payments 24/7 and wrong seconds.

The VP of Research astatine Bitcoin mining steadfast Riot Platform Pierre Rochard agrees with Emmer’s view. Rochard said:

“It does look similar the Fed is abusing regulatory mechanisms to prosecute successful anti-competitive monopolist behavior.”

The station US lawmaker says President Biden medication is weaponizing marketplace chaos to termination crypto appeared archetypal connected CryptoSlate.