[In 2023, the US government tries to kill cryptocurrencies]
The strict supervision of the cryptocurrency industry by the U.S. government and regulatory agencies has attracted the attention of conspiracy theorists. Former U.S. Office of the Currency Director Brian Brooks has said central banks and governments will not tolerate the existence of currency rivals.
The U.S. Securities and Exchange Commission (SEC) and Commodity Futures Trading Commission (CFTC) have launched enforcement actions against U.S. crypto entities such as Kraken, Coinbase, and Binance. Kraken founder and former CEO Jesse Powell expressed regret over the SEC’s action.
The Biden administration criticized cryptocurrencies in the "President's Economic Report" and pointed to fraud in the industry. Congresswoman Elizabeth Warren has called for a crackdown on cryptocurrencies and even proposed legislation to ban them from self-regulation.
The closures of Silvergate, Silicon Valley Bank and Signature Bank have raised questions about the crypto industry, seen as a conspiracy against cryptocurrencies. Signature Bank board member Barney Frank believes the bank was forced to liquidate to send an anti-crypto message. New York's Department of Financial Services has denied the allegations.
FDIC Chairman Martin Gruenberg has been accused of being the architect of Operation Choking Point, which has been challenged by lawsuits and hearings. Frank criticized the government for abusing its power, arguing that the cryptocurrency scare led to the closure of Signature Bank.
In 2023, the U.S. judicial department fought back against agencies such as the SEC, but the damage to the encryption industry appears to be irreversible. U.S. attitudes toward the crypto industry may not change much in 2024, with many founders and companies seeking friendlier jurisdictions. This is a sad reality for the so-called “land of the free” and the entire crypto industry.