Senator Lummis Criticizes Federal Agencies Over Crypto Policies

According to CoinDesk, Republican U.S. Senator Cynthia Lummis has raised concerns about the actions of two federal agencies in relation to the cryptocurrency industry. This comes just days before President-elect Donald Trump is set to take office again. Lummis has specifically addressed the U.S. Marshals Office and the Federal Deposit Insurance Corp. (FDIC) regarding their handling of crypto assets and related policies. Lummis has urged the U.S. Marshals Office to slow down its sales of crypto assets, particularly those seized in the Silk Road case. She argues that the liquidation of nearly 70,000 bitcoins, valued at approximately $6.9 billion, is inappropriate given Trump's interest in establishing a U.S. bitcoin reserve. Lummis expressed concern that the department's aggressive liquidation plans contradict the incoming administration's objectives of creating a National Bitcoin Stockpile. However, the Marshals Office has limited authority to alter its course without formal action from the president and Congress to establish such a reserve. In addition to her concerns with the U.S. Marshals Office, Lummis has also addressed the FDIC. She sent a letter to the agency warning against any efforts to conceal evidence related to what the crypto industry refers to as Operation Chokepoint 2.0. This alleged campaign aims to disconnect digital asset activities from U.S. banking. Lummis emphasized that any attempt to hide such information would be illegal and unacceptable. The FDIC has not commented on the letter. The Senate Banking Committee has formed a subcommittee focused on digital assets, with Lummis expected to lead it. Alongside Senator Tim Scott, the committee's chairman, Lummis will have the opportunity to influence the panel's crypto agenda. However, they will face opposition from the committee's ranking Democrat, Senator Elizabeth Warren. Scott has outlined a plan for the committee, which includes developing a U.S. regulatory framework for digital assets. He aims to create an open-minded environment for innovative financial technologies and digital asset products, such as stablecoins, to promote financial inclusivity.