To the House of Representatives:
I will return herewith without my consent HJRes. 109, a decision that would disapprove of Staff Accounting Bulletin No. 121 (SAB 121) issued by the Securities and Exchange Commission (SEC).
SAB 121 reflects the considered technical views of the SEC staff regarding the accounting obligations of certain companies that safeguard crypto assets. Under the Congressional Review Act, this Republican-led resolution would inappropriately restrict the SEC’s ability to establish appropriate guardrails and address future cases. Retreating from the considered judgment of SEC staff in this way threatens to undermine the SEC’s broader authorities over accounting practices. My administration will not support measures that jeopardize the well-being of consumers and investors. Proper guardrails that protect consumers and investors are essential to harness the potential benefits and opportunities of crypto asset innovation. My Administration is eager to work with Congress to ensure a comprehensive and balanced regulatory framework for digital assets, building on existing authorities, which will promote responsible development of digital assets and innovation in payments and help strengthen U.S. leadership in the global financial system.
Therefore, I object to this decision.
joseph r. Biden Jr.
White House,
May 31, 2024.
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