- Senator Lummis criticizes Federal Reserve for withdrawing crypto guidance.
- Lummis vows continued pressure on the Fed.
- No direct market or funding shifts from the Fed’s move identified.
U.S. Senator Cynthia Lummis criticizes the Federal Reserve’s withdrawal of its cryptocurrency guidance on April 25, impacting U.S. crypto industry regulation.
The event underscores ongoing regulatory uncertainty in the U.S. crypto sector, with no immediate market shifts but broad industry implications.
U.S. Senator Criticizes Federal Reserve Over Crypto Policy Changes
U.S. Senator Cynthia Lummis publicly criticized the Federal Reserve’s decision to withdraw its 2022 cryptocurrency guidance. In her statement, Lummis described the move as “lip service,” claiming it stifles industry innovation. The senator’s comments were consistent with her longstanding advocacy for clear crypto legislation.
The Federal Reserve’s guidance withdrawal creates regulatory uncertainty among U.S.-based crypto companies. There’s concern this shift may affect their access to banking services, despite no direct changes in funding or asset values observed immediately following the announcement.
The Federal Reserve’s withdrawal of cryptocurrency guidance is just lip service, not a real step forward. The Fed has stifled companies in the industry, harmed U.S. interests by stifling innovation and shutting down businesses. This fight is far from over. I will continue to hold the Fed accountable until the digital asset industry receives not just a lifebuoy, but the fair opportunity they need.
Regulatory Uncertainty and Its Effects on U.S. Crypto Market
Did you know? Previous regulatory ambiguities have often prompted U.S.-based crypto companies to shift their operations to regions with more favorable policies, impacting local innovation and market dynamics.
Sui (SUI) saw a notable productivity in recent days, achieving a 9.39% increase to $3.59 within 24 hours as recorded by CoinMarketCap. Its market cap now stands at $11.68 billion, with a 24-hour trading volume reaching $3.37 billion. Despite short-term gains, the token has fluctuated by as much as 68.06% over the past week.
Analysis from Coincu suggests ongoing regulatory ambiguity may pressure companies to explore blockchain solutions outside the U.S. where regulatory frameworks are more defined. This could undermine local market growth if clarity is not promptly achieved.
Source: https://coincu.com/334366-senator-lummis-federal-reserve-crypto/