A US senator who supports cryptocurrency is criticizing the Biden Administration for vetoing a bill that would have reversed a crucial guidance bulletin from the US Securities and Exchange Commission (SEC). Republican Senator Cynthia Lummis of Wyoming took to the social media platform X to express her concerns. She accused the Biden Administration of trying to dodge the law by vetoing the bill, known as Staff Accounting Bulletin (SAB) 121.

SAB 121, issued by the SEC in 2022, requires certain companies to classify digital assets as liabilities on their balance sheets, even if they are holding the assets on behalf of customers. Senator Lummis argued that the SEC should not be using staff accounting bulletins to make decisions, especially for industries it does not regulate. She criticized President Biden for doubling down on failed policies and not listening to the American people’s will.

In response, President Biden sent a letter to the House, explaining his decision to veto the bill. He stated that allowing the bill to become law would hinder the SEC’s ability to protect consumers. According to President Biden, SAB 121 reflects the SEC staff’s considered views on the accounting obligations of firms safeguarding crypto assets. He argued that the Republican-led resolution would limit the SEC’s ability to set appropriate guardrails and address future issues. President Biden emphasized that his administration will not support measures that put consumers and investors at risk.

Senator Lummis remains steadfast in her support for financial innovation and key protections for crypto assets. She vowed to fight against the administration’s attempts to bypass the law. The clash between the pro-crypto senator and the Biden Administration highlights the ongoing debate over the regulation of digital assets in the United States.