Warren, Ocasio-Cortez Ask Regulators to Clarify Stance on Crypto Hires

The U.S. lawmakers asked how long an individual is barred from seeking employment in an industry he or she has regulated.

By Jamie Crawley

Oct 25, 2022 at 11:58 a.m. UTC

Updated Oct 25, 2022 at 5:56 p.m. UTC

Jamie Crawley

Jamie Crawley is a CoinDesk news reporter based in London.

Follow @JamieCrawleyCD on Twitter

U.S. Sen. Elizabeth Warren (D-Mass.) and Rep. Alexandria Ocasio-Cortez (D-N.Y.) have asked regulators to clarify their rules on former employees taking roles in the crypto industry.

In a letter sent to almost all federal financial regulators, the lawmakers noted "the increasing number of revolving door hires" and asked how long individuals involved in regulating the crypto industry are barred from seeking employment in it.

Along with their fellow signatories, the two say they are concerned that crypto firms may appoint former financial regulators and government officials to add some teeth to their lobbying efforts.

"We are concerned that the crypto revolving door risks corrupting the policymaking process and undermining the public’s trust in our financial regulators," the letter said.

The letter was addressed to the Securities and Exchange Commission, Commodity Futures Trading Commission), Treasury, Federal Reserve, Federal Deposit Insurance Corp. and Office of the Comptroller of the Currency.

Warren has been a frequent critic of the crypto industry, particularly with regard to the energy usage of bitcoin mining.

DISCLOSURE

Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups. As part of their compensation, certain CoinDesk employees, including editorial employees, may receive exposure to DCG equity in the form of stock appreciation rights, which vest over a multi-year period. CoinDesk journalists are not allowed to purchase stock outright in DCG.