The US government has done “nothing” to address crypto -dedicated issues since US president Donald Trump returned to the White House, according to Custodia Bank CEO Caitlin Long.
Speaking on stage at Ethdenver in Feb. 28, long Says While “perception was that there was a loosening, none of the federal banking agencies actually retracted any of the anti-crypto guides.”
“It is still assumed that it is unsafe and unsafe for a bank to hold a digital possession even at a de minimis value,” Long said while saying that “nothing” has changed.
“That will change, no doubt, but Trump has not suggested (anything).”
Caitlin long speaking at Ethdenver in Denver, Colorado in Feb. 28. Source: Ethdenver
CEO of Crypto-Friendly Bank said the White House had to appoint a new chair to rule the Federal Deposit Insurance Corporation, which Long said there is mainly opposed to emerging with technological change for the best part of 15 years under the leadership of Martin Gruenberg.
“This is why the banking system has backward in this country, because in the last 15 years, we have someone who is not interested in any change.”
Gruenberg, who was replaced by acting chair Travis Hill on Jan. 20, had been accused of being one of the key orchestrators of “Operation Chokepoint 2.0” – A purported federal effort to overthrow crypto Companies.
It has long been recognized that the Security and Commission on Exchange has done a “massive 180” in the crypto policy – and is waiting for a similar transfer to banking regulation.
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One day after US president Donald Trump in January 20, the SEC established A Crypto Task Force Led by SEC Commissioner Hester Peirce to support the new approach.
SEC noted a controversial rule, the Staff Accounting Bulletin 121, asking the financial companies holding the crypto to record them as responsibilities in their balance sheets.
Long hoping that the US has passed Long awaited law of stablecoin Soon but want to see the stronger consumer protection placed in place -most noticing -noticing, make sure the banks are holding cash.
“The average bank in the United States now holds 8 cent cash against every $ 1 of demand deposits … which is fundamentally unstable and starting prone to a bank running.”
“And in the crypto industry, I think we found out that the business model didn’t work,” long, said, citing the The collapse of the Silvergate bank.
In order to adequately protect consumers, the stablecoin providers must force to handle the cash to back the responsibility of Stablecoin, Long said.
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