The President of the United States of America, Joe Biden, issued a veto on Friday, May 31, regarding H.J.Res. 109, an appeal to disapprove the Securities and Exchange Commission’s Staff Accounting Bulletin 121. 

Referring to the House Of Representatives that applied for the H.J.Res. 109, the veto reads, “I am returning herewith without my approval H.J.Res. 109, a resolution that would disapprove of the Securities and Exchange Commission’s (SEC) Staff Accounting Bulletin No. 121 (SAB 121).”

The Veto continued, with Biden stating that the reversal of SAB 121 would weaken the SEC’s control over accounting procedures, thereby putting investors and consumers at risk. Biden also added that his administration is committed to collaborating with Congress to develop a thorough and balanced regulatory framework for digital assets, leveraging existing authorities.

Biden concluded that this move would “promote the responsible development of digital assets and payment innovation and help reinforce United States leadership in the global financial system.”

Members of U.S. Congress Appeal to Biden on Crypto Custody Bill

Before Biden’s recent veto, Eight US Congressmen, Andy Barr, Mike Flood, Dan Meuser, Ritchie Torres, Patrick McHenry, Tom Emmer, French Hill, Wiley Nickel, and one Senator, Cynthia M. Lummis, urged the President to abolish SAB 121.

Given that the SAB 121 could pose a substantial obstacle to traditional financial institutions offering cryptocurrency-related services, the congress members, including Sen. Lummis, who recently endorsed Bitcoin, appealed to Joe Biden.

As a final resort, Congress resorted to taking votes in an attempt to overturn SAB 121. The House of Representatives took their vote first, and it ended with 228 supporters against 182 opposers. A week later, the Senate took its vote and ended with a 60-38 result.

However, despite Congress’ efforts, Biden released the veto on the disapproval of SAB 121. The President’s response was consistent with his previously expressed views on the cryptocurrency industry.

Meanwhile, a look into the wallet of the former U.S. President, Donald Trump, revealed that he owned crypto assets, including ETH and his inspired token, Trump. However, after the Manhattan jury delivered to him a guilty verdict on all 34 felony counts of falsifying business records in his New York criminal trial related to hush money payments, the Trump token fell by 35%.