CoinDesk Report:
Former Deputy Attorney General Donald B. Verrilli criticizes regulatory agencies for targeting cryptocurrency, undermining banking operations. Both parties support cryptocurrency regulation ahead of the 2024 US presidential election.
As the 2024 US presidential election approaches, significant developments in cryptocurrency regulation have emerged.
Donald B. Verrilli, former Deputy Attorney General during the Obama administration, has joined the discussion.
Verrilli’s optimistic view on cryptocurrencies was highlighted by Fox Business Channel reporter Eleanor Terrett in a July 5th X (formerly Twitter) post, revealing his criticism of regulatory agencies for deliberately targeting cryptocurrency.
He stated, “Despite the urgent need for banking services in the digital asset industry, federal regulatory agencies have orchestrated a coordinated effort to disrupt banking operations within this sector.”
Terrett further emphasized Verrilli’s views on ongoing legal battles involving custodial banks and the Federal Reserve.
In a political shift, despite historical disagreements in various Supreme Court cases, Verrilli and former Deputy Attorney General under President Bush, Paul Clement, have united in supporting custodial banks’ legal challenge against the Federal Reserve.
They criticized the Office of the Comptroller of the Currency’s (OCC) informal guidance, effectively limiting banks’ collaboration with cryptocurrency firms.
This alliance indirectly advocates for the cryptocurrency industry, marking significant positions in their legal careers across party lines.
Terrett reiterated this and added, “This is another sign of shifting political dynamics around cryptocurrencies—gaining bipartisan support ahead of the November elections.”
Gensler and Biden’s Anti-Crypto Moves
In recent months, ongoing scrutiny by the Securities and Exchange Commission (SEC) of prominent firms like Ripple (XRP), Coinbase, and Consensys has drawn substantial criticism.
Undoubtedly, anti-cryptocurrency sentiment is seen not only from President Joe Biden but also extends to SEC Chairman Gary Gensler.
Gensler’s recent remarks underscored this sentiment, stating, “Cryptocurrencies represent only a small portion of our overall market. However, they constitute a significant part of the market’s scams, frauds, and issues.”
However, not everyone views cryptocurrencies as a partisan issue in the upcoming elections. Galaxy Digital founder and CEO Mike Novogratz stated, “Cryptocurrency should be bipartisan, and it must be bipartisan.”
Thus, he takes a neutral stance, stating succinctly, “Regardless of who wins the next election, we will get positive cryptocurrency legislation—I know that.”
