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US Regulators, Lawmakers Want Tougher Action on Crypto Industry

It was a catastrophic event for the crypto fraternity when FTX folded in November. This was termed the Lehman moment, when a giant within the industry buckled, the damage spread, and reluctant regulators suddenly had an epiphany and went on a public rampage to improve their image. The crypto industry is now plunging into the twilight zone: the Dodd Frank era. (Frank is the 2010 legislation Congress passed supposedly fixing the lax oversight within the banking industry that sunk the financial world into the worst historical financial abyss ever.)

As the market burst into a mega-dollar enterprise, proponents grappled with an ill-equipped regulatory infrastructure unable to handle the crypto industry. When FTX filed for bankruptcy, federal and state officials escalated their efforts to tame the crypto industry, a move that has irked major crypto…

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