The President Joe Biden has vetoed a bill which allows financial Firms can act as a custodian for Bitcoins and other crypto-currencies. The proposed legislation, H.J. Res. 109, would overturn the SEC’s Staff Accounting Bulletin (SAB) No. 121. This Bulletin restricts financial institutions regarding the custody of digital assets, under the Congressional Review Act (CRA).
“The Administration strongly opposes passage of H.J. Res. 109, which would disrupt the Securities and Exchange Commission’s (SEC) work to protect investors in crypto-asset markets and to safeguard the broader financial system,” You can also find out more about the following: Executive Office of The President stated. “If the President were presented with H.J. Res. 109, he would veto it.”
Furthermore, H.J.Res. H.J.Res. This bill will remove the roadblocks which prevent high-regulated businesses from operating. financial Institutions are prohibited from serving as a custodian for digital assets such as Bitcoin.
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The new Bill is still supported by Congress despite President Biden’s Veto
![Joe biden](https://fxruhanahmed.com/2/wp-content/uploads/2024/05/President-Biden-To-Veto-Bill-Allowing-Financial-Firms-To-Hold.jpg)
US Congressman Patrick McHenry Chairman of the House Financial Services Committee expressed support SAB 121, the SEC regulation. “Staff Accounting Bulletin, or SAB, 121 is one of the most glaring examples of the regulatory overreach that has defined Gary Gensler’s tenure at the SEC,” McHenry stated in an hearing. “Through SAB 121, the Commission is trying to dictate how financial institutions and firms safeguard Americans’ digital assets under the guise of so-called staff guidance.”
Additionally, US Congressman French Hill also spoke out in support of H.J. Res. Res. “Holding reserves against the assets held in custody is NOT standard financial services practice. The Biden Admin’s SAB 121 is misguided and should be nullified.”
Biden has not yet seen the bill. Knowing his position on the bill in advance is not good for financial Entities looking to own Bitcoin and top crypto assets.
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Source: watcher.guru