Biden’s veto decision causes outrage in the cryptocurrency industry due to increased financial contributions in the 2024 elections.
President Joe Biden has vetoed a resolution that was passed in both the House and Senate of the U.S. and had strong support from the cryptocurrency industry. This action is part of a series of moves by the president, who is facing opposition from powerful crypto forces investing millions in efforts to defeat him in the 2024 Presidential Elections.
The vetoed resolution aimed to revoke Securities and Exchange Commission Staff Accounting Bulletin 121, which required financial institutions holding cryptocurrencies to keep digital assets on their own balance sheets. President Biden characterized the effort to overturn the SEC decision as a “Republican-led resolution,” despite some Democrats also voting in favor. He argued that the resolution could hamper the SEC’s ability to establish proper security measures and address future challenges, potentially undermining the SEC’s broader authority on accounting practices.
The veto has sparked outrage among online cryptocurrency supporters, including BowTieBill, a cryptocurrency newsletter, who see Democrats as posing a threat to the existence of cryptocurrencies. Biden’s administration has recently been reaching out to the cryptocurrency industry, indicating a shift in stance towards digital assets. The focus is not only on the presidential race but also on U.S. Senate races in Ohio and Michigan, where Super PACs focused on cryptocurrencies are planning significant financial investments in candidates who support the industry.
Despite past skepticism, Donald Trump, the likely Republican candidate for the presidency, has expressed support for cryptocurrencies. National polls show Trump and Biden neck and neck in terms of support. In his veto statement, President Biden emphasized the importance of sensible regulation by the SEC and expressed a willingness to collaborate with Congress in establishing a comprehensive regulatory framework for digital assets. This position suggests that the Biden administration is not looking to alienate the cryptocurrency industry, regardless of differing opinions within the sector.
