U.S. Republican Congressman Queries FDIC
• U.S. Repubican Congressman Tom Emmer sent a letter to the Chairman of the Federal Deposit Insurance Corporation (FDIC), Martin Gruenberg, regarding reports that the FDIC is “weaponizing recent instability” in US banking industry to “purge legal crypto activity” from the US.
• Emmer has also been questioning other US lawmakers and agencies about their actions against crypto businesses, including SEC Chairman Gary Gensler. He has also introduced legislation that would prohibit the US central bank from issuing a central bank digital currency directly to anyone.
• Former House Financial Services Committee chairman Barney Frank had highlighted the targeted nature of these regulatory efforts to ’single out‘ financial institutions and ’send a message to get people away from crypto.‘
Letter To FDIC’s Gruenberg
Tom Emmer’s letter to Martin Gruenberg asked whether the FDIC instructed banks not to provide banking services to cryptocurrency firms. The Minnesota congressman added: Individuals from across the industry, including former House Financial Services Committee chairman Barney Frank highlighted the targeted nature of these regulatory efforts to ’single out‘ financial institutions and ’send a message to get people away from crypto.‘
Barney Frank’s Commentary
The comments made by former lawmaker Barney Frank stem from his commentary about being surprised by Signature Bank’s collapse. Frank said he suspected there was an „anti-crypto message“ behind Signature Bank’s demise.
Response From New York Regulator
The New York State Department of Financial Services disagreed with Frank’s suspicions and stated that placing Signature into receivership of the FDIC had „nothing to do with crypto.“
Emmer’s Question To FDIC Chairman
Despite this denial, Tom Emmer’s letter implicitly asked Martin Gruenberg whether or not the FDIC specifically directed banks not to provide banking services to cryptocurrency firms: „Have you communicated—explicitly or implicitly—to any banks that they should deny service or otherwise discourage customers engaging in legal digital asset activities?“