Wyoming Senator Cynthia Lummis has raised serious concerns about the Federal Deposit Insurance Corporation’s (FDIC) handling of cryptocurrency oversight.
She has accused the agency of misconduct, citing reports from whistleblowers who allege that critical documents were destroyed and employees were pressured to stay silent.
In a letter sent on January 16 to FDIC Chair Marty Gruenberg, Lummis demanded clarity on these claims. She insisted that the FDIC preserve all records tied to its digital asset activities since January 2022, including communications about enforcement actions involving Signature Bank and Silvergate Bank.
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The letter also addressed concerns about coordination between the FDIC and other federal agencies regarding cryptocurrency regulations.
According to the whistleblowers, the FDIC allegedly monitored staff access to sensitive information to prevent disclosures to Congress.
Lummis highlighted a reported initiative known as “Operation Chokepoint 2.0”, which allegedly aims to cut off banking access for cryptocurrency firms. She called the FDIC’s alleged actions “unacceptable and illegal”, emphasizing that such behavior damaged public trust.
In her letter, Lummis warned that obstructing Congressional oversight or destroying evidence could lead to criminal referrals to the Department of Justice.
“The American people deserve transparency”, Lummis stated, vowing to expose the truth behind the accusations.
She reiterated this call for accountability on X, where she pledged to work with Senator Tim Scott, the newly appointed chair of the Senate Banking Committee, to investigate the matter fully.
On January 12, Senator Elizabeth Warren sent a letter to Scott Bessent, raising concerns about the growing use of cryptocurrencies in illegal activities. What did the letter say? Read the full story.
Having completed a Master’s degree in Economics, Politics, and Cultures of the East Asia region, Aaron has written scientific papers analyzing the differences between Western and Collective forms of capitalism in the post-World War II era.With close to a decade of experience in the FinTech industry, Aaron understands all of the biggest issues and struggles that crypto enthusiasts face. He’s a passionate analyst who is concerned with data-driven and fact-based content, as well as that which speaks to both Web3 natives and industry newcomers.Aaron is the go-to person for everything and anything related to digital currencies. With a huge passion for blockchain & Web3 education, Aaron strives to transform the space as we know it, and make it more approachable to complete beginners.Aaron has been quoted by multiple established outlets, and is a published author himself. Even during his free time, he enjoys researching the market trends, and looking for the next supernova.
