Senator Lummis Criticizes Fed Chair Powell’s Crypto Stance

• Lyla Velez
• July 24, 2025
• Policy
• 0 Comments

Lummis argues that Powell’s policies risk the U.S.’s competitive edge in digital innovation amid regulatory tension.

Senator Lummis, a digital asset advocate, criticized Jerome Powell for his alleged role in policies that limit the crypto sector. Lummis accused Powell of consistently disregarding innovation and financial rights. The senator stressed the need for transparent policies to safeguard U.S. competitiveness. Powell has been linked to regulatory actions perceived as hostile by the crypto industry. Lummis referenced measures like Operation Chokepoint 2.0 as key concerns.

“The Fed’s continued politization of bank supervision is a threat to both our financial system’s integrity and America’s competitive edge, and the days of the Fed hiding its policy bias and mismanagement are over.” – Cynthia Lummis

The impact on financial markets and crypto firms is notable, with many de-banked due to these policies. People and businesses involved in crypto face challenges accessing banking services, affecting market dynamics. Powell’s regulatory posture has economic and political ramifications, affecting institutional trust in the U.S. crypto market. Calls for review of banking policies have intensified, echoing across the crypto industry.

Historic parallels to Operation Chokepoint have heightened scrutiny on the Fed’s regulations. Powell has drawn criticism for these actions, echoing historic pressures on the financial sector. Projections suggest that tightened regulations may slow crypto and financial innovation in the U.S. Historical trends indicate that restrictive measures might redirect investment to more favorable jurisdictions, affecting America’s financial landscape.