Rashida Tlaib Cites FTX Collapse, Silicon Valley Bank, and Signature Bank to Justify Crypto Regulation

During a recent hearing on cryptocurrency, Congresswoman Rashida Tlaib expressed concerns regarding the impact of centralized banking on the crypto sector, citing the collapse of FTX as a justification for increased regulatory scrutiny. Tlaib reiterated claims that cryptocurrencies played a role in the failures of Silicon Valley Bank and Signature Bank, which has been labeled as misleading by some observers. Other representatives, including Maxine Waters, also addressed the need for government support for small-scale banking, emphasizing that cryptocurrency was designed to enhance financial access for underserved populations. The hearing highlighted ongoing tensions between regulatory bodies and the crypto industry amid calls for greater oversight.