U.S. Treasury Secretary Scott Bessent issued stern words Thursday to crypto stakeholders who think they can live without a market structure bill, stating it’s “impossible to proceed” with regulating crypto in the United States if the legislation does not pass Congress.
“There seems to be a nihilist group in the industry who would prefer no regulation over this very good regulation,” Bessent said during testimony today before the Senate Banking Committee.
“We have to get this Clarity Act across the finish line,” the Treasury Secretary added a few minutes later. “Any market participants who don’t want it should move to El Salvador.”
“I’ve been a champion of these small banks, and deposit volatility is very undesirable,” the Treasury Secretary said.
“It’s the stability of those deposits that allows them to lend into their communities, ag[riculture], small business, real estate,” he continued. “We will continue to work to make sure there is no deposit volatility associated with this.”
At another point in Thursday’s hearing, Sen. Mark Warner (D-VA), a key pro-crypto Democrat who has been negotiating the bill’s finer points for several months, expressed his exhaustion at the process to the Treasury Secretary.
“I feel like I’m in crypto hell,” Warner said.
Bessent laughed at the comment, and appeared to almost reply before stopping himself.
