White House Advisor Criticizes Major Crypto Platform Over Regulatory Bill Withdrawal

2026-01-22 00:20:55

Source: Coinomedia Original Title: White House Advisor Slams Coinbase Over Bill Exit Original Link: https://coinomedia.com/white-house-advisor-slams-coinbase-over-bill-exit/ A senior White House crypto advisor has publicly criticized a major crypto platform for pulling out of discussions around the U.S. crypto market structure bill. The advisor warned that the decision could backfire, potentially leading to stricter regulations for the entire digital asset industry.

The platform’s exit is seen as a setback in the ongoing push to create a clearer, more stable regulatory framework for the crypto sector. The bill, which is still under development, aims to define how cryptocurrencies should be classified and regulated in the U.S., particularly around trading, custody, and compliance.

Regulator Frustration Grows Over Crypto Industry Moves

The White House advisor expressed disappointment, arguing that the withdrawal weakens industry-government collaboration at a critical time. “Walking away now only opens the door for harsher, reactionary regulations,” the advisor stated, emphasizing that delay could worsen conditions for U.S.-based crypto innovation.

This friction reflects a growing divide between policymakers and major crypto players, which has repeatedly clashed with regulators over what it sees as unclear or overly aggressive enforcement actions. The latest move underscores a broader concern that lack of engagement from top industry actors could stall or derail meaningful legislation.

What’s at Stake for the U.S. Crypto Market?

With regulatory pressures mounting and global crypto regulation advancing, U.S. lawmakers face increasing pressure to act. A well-structured bill could provide the clarity that investors and companies have long demanded. However, a breakdown in communication could lead to rushed or punitive rules.

Crypto advocates warn that the U.S. risks falling behind other jurisdictions like the EU and UAE if regulatory uncertainty persists. The White House’s stern message is clear: stay engaged, or risk a future shaped without your voice.

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