- Senator Lummis warns FDIC against destroying key documents tied to OCP 2.0 allegations.
- Whistleblowers claim FDIC suppressed and destroyed records linked to anti-crypto actions.
- Trump’s team proposes merging FDIC, OCC, and Fed functions to streamline banking oversight.
Senator Cynthia Lummis has issued a warning to the FDIC regarding alleged document destruction tied to Operation Choke Point 2.0 (OCP 2.0). Whistleblowers have accused the agency of withholding and destroying materials linked to the anti-crypto initiative. These allegations have intensified scrutiny of the FDIC’s practices.
On January 16, 2025, Lummis wrote a letter to FDIC Chair Marty Gruenberg. She demanded the agency preserve all documents connected to OCP 2.0. Lummis warned that any destruction of materials could result in criminal referrals to the Department of Justice.
Whistleblower reports suggest FDIC staff access to these documents is being closely monitored. These restrictions allegedly aim to prevent the disclosure of sensitive information. The Senator emphasized that obstructing Senate oversight is illegal and unacceptable.
Whistleblowers Raise Compliance Concerns
Whistleblowers have accused the FDIC of suppressing key information tied to OCP 2.0. Reports claim the agency destroyed critical documents and threatened legal action against staff who spoke out. These actions raise significant concerns about transparency within the FDIC.
The controversy is tied to the closures of Signature Bank and Silvergate Bank. Both banks had strong ties to the cryptocurrency industry. Their wind-downs are now central to investigations into the broader crackdown on crypto businesses.
Lummis demanded that the FDIC immediately cease all alleged retaliatory actions. She also stressed the need for transparency during ongoing Senate investigations into the matter.
Trump Administration’s Proposed Banking Reforms
Some reports indicate that Trump and his team are planning major reform of the banking regulatory structure. Some suggestions identify consolidation of the FDIC and OCC and the Federal Reserve’s nonmonetary activities to ease supervision. Experts have also noted the idea of relocating the deposit insurance powers to the Treasury Department.
Treasury nominee Scott Bessent has recently stated his views against the establishment of a United States central bank digital currency(CBDC). Bessent argued that the dollar already provides secure alternatives for investors. His stance aligns with Trump’s pro-Bitcoin policies and preference for decentralized financial systems.
Bessent also highlighted Bitcoin’s role in countering centralized digital currencies from other countries. However, Senator Elizabeth Warren has raised concerns about Bessent’s views on crypto regulation. Her 31-page letter questioned his position on stablecoins and their oversight under OFAC.
The post Senator Cynthia Lummis Calls Out FDIC for Retaliation and Document Destruction Allegations appeared first on Cryptonewsland.
Earn more PRC tokens by sharing this post. Copy and paste the URL below and share to friends, when they click and visit Parrot Coin website you earn: https://parrotcoin.net0
PRC Comment Policy
Your comments MUST BE constructive with vivid and clear suggestion relating to the post.
Your comments MUST NOT be less than 5 words.
Do NOT in any way copy/duplicate or transmit another members comment and paste to earn. Members who indulge themselves copying and duplicating comments, their earnings would be wiped out totally as a warning and Account deactivated if the user continue the act.
Parrot Coin does not pay for exclamatory comments Such as hahaha, nice one, wow, congrats, lmao, lol, etc are strictly forbidden and disallowed. Kindly adhere to this rule.
Constructive REPLY to comments is allowed