2024

Biden

The American Bankers Association (ABA) was found controversial regarding the Securities and Exchange Commission’s (SEC) Staff Accounting Bulletin 121 (SAB 121). It was discovered that the ABA wrote a letter to President Joe Biden, urging him to sign the Congressional Review Act resolution(H.J Res.109) of disapproval for SAB 121, into law before the President vetoed the bill. 
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 🚨NEW: The American Bankers Association, which helped write what the <a href="https://twitter.com/hashtag/crypto?src=hash&amp;ref_src=twsrc%5Etfw" target="_blank" rel="noopener">#crypto</a> industry says is <a href="https://twitter.com/ewarren?ref_src=twsrc%5Etfw" target="_blank" rel="noopener">@ewarren</a>’s anti-crypto bill (Digital Asset Anti-Money Laundering Act), wrote a letter asking <a href="https://twitter.com/POTUS?ref_src=twsrc%5Etfw" target="_blank" rel="noopener">@POTUS</a> to sign H.J. Res. 109 (SAB 121 repeal) into law hours before he vetoed it.…— Eleanor Terrett (@EleanorTerrett) <a href="https://twitter.com/EleanorTerrett/status/1796984470437756938?ref_src=twsrc%5Etfw" target="_blank" rel="noopener">June 1, 2024</a>
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The bill H. J. Res. 109 was started by lawmakers&nbsp; Senator Cynthia Lummis, Rep. Mike Flood, and Rep. Wiley Nickel to <a href="https://www.cryptotimes.io/2024/05/31/joe-biden-urged-to-reconsider-veto-threat-on-sab-121-repeal/" target="_blank" data-type="link" data-id="https://www.cryptotimes.io/2024/05/31/joe-biden-urged-to-reconsider-veto-threat-on-sab-121-repeal/" rel="noreferrer noopener">repeal SAB 121</a>.&nbsp; 
The ABA, and other financial associations, expressed their support for H.J. Res. 109 in the <a href="https://www.aba.com/advocacy/policy-analysis/letter-to-president-biden-sab-121?utm_source=twitter&amp;utm_medium=org&amp;utm_campaign=advocacy&amp;utm_content=friday_5.31.24" target="_blank" rel="noreferrer noopener nofollow">report</a> to&nbsp;Biden. They highlighted that SAB 121, which requires public companies to record the fair value of user-safeguarded digital assets on their balance sheets, deviates from the normal accounting treatment of custodied assets as off-balance sheet assets. 
This means that the activity of digital asset custody is impossible for regulated banking organizations to scale up because they have to meet higher requirements in terms of capital or liquidity than their non-banking counterparts. 
They argued that they were focused on the client which they underlined saying that the limitation of the possibility for banks to perform these services puts customers in scarce trustworthy means of protecting their digital assets. The contributors to the field of cryptocurrencies have lamented the move that saw H. J. Res. 109 vetoed. 
Jai Massari, the co-founder &amp; CLO of <a href="https://www.cryptotimes.io/2024/06/02/lightsparks-jai-massari-criticizes-bidens-sab-121-veto/" target="_blank" data-type="link" data-id="https://www.cryptotimes.io/2024/06/02/lightsparks-jai-massari-criticizes-bidens-sab-121-veto/" rel="noreferrer noopener">Lightspark applied a veto</a>, stating that it is against consumer protection, changes in crypto policy, and competition. She explained that SAB 121&nbsp; regulated financial institutions from handling digital asset custody despite lacking suitable backing.

ABA Urges Biden to Veto Disapproval of SAB 121

The Crypto Times

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