President Joe Biden has vetoed a resolution to repeal the SEC's Staff Accounting Bulletin (SAB) 121, causing backlash from the cryptocurrency community. The veto, announced on May 31, 2024, is seen by the administration as necessary for consumer and investor protection. However, crypto advocates argue that the guidelines, which require institutions holding crypto assets to record them as liabilities, hinder innovation and financial freedom.

Despite bipartisan support for repealing SAB 121, Biden's veto is seen as going against the collective will of Congress and the crypto community. The House of Representatives and the Senate had voted to repeal the guidelines. Biden's administration insists that maintaining SAB 121 ensures transparency and accountability in the financial sector.

Prominent figures in the crypto industry have expressed disappointment with Biden's decision, describing it as a setback for the industry. The veto has intensified the debate over the future of crypto regulation in the United States, with pro-crypto lawmakers vowing to continue fighting against what they see as the administration’s restrictive policies. The tension between regulatory authorities and the cryptocurrency industry continues, with the outcome set to significantly shape the future of cryptocurrency in the United States.