The co-founder and CLO of Lightspark, Jai Massari, has expressed worries over SAB 121’s veto, stating that it contradicts pro-consumer protection, pro-innovation, and pro-competition agendas in crypto policy.
In a recent tweet, She drew attention to SAB 121 saying, “It treats digital asset custody by large, regulated financial institutions punitively and differently from that of any other kind of asset. Without any meaningful or supportable policy or regulatory basis.”
According to Massari, SAB 121 unfairly singles out regulated financial institutions for their treatment of digital asset custody since it lacks a solid policy or regulatory foundation. She highlights the negative effects on consumer convenience and choice while addressing the issues regarding the SEC staff’s use of accounting advice.
Massaru noted, “Perhaps crypto policy is not at the top of the Administration’s list. But the damage done from this approach to regulation goes far deeper and broader.”
The cryptocurrency community emphasizes the need for just and open regulation, echoing Massari’s worries. There is widespread agreement that SAB 121 stifles competition and innovation in favor of laws that promote consumer safety and market expansion.
Some advocate reassessing regulatory strategies to address more general issues in the crypto business.
Furthermore, a cryptocurrency supporter, Senator Cynthia Lummis has also criticized this decision, claiming that the administration missed a chance to change its position on digital assets.
Also Read: Lawmaker Urges Biden to Reconsider Veto on SAB 121 Repeal
