White House Crypto Council Director Says Operating Without Market Rules Is ‘Fantasy’

A leading director within the White House’s advisory structure on digital assets has issued a powerful critique of the cryptocurrency industry’s aspirations for complete regulatory independence, labeling the notion of operating outside established market rules as a “fantasy.” This statement strongly reinforces the Biden Administration’s commitment to ensuring comprehensive regulatory oversight of the digital asset sector.

Speaking at a recent policy forum, the official emphasized that the fundamental principles governing market integrity, consumer protection, and fraud prevention—core tenets of the traditional financial system—must be applied to cryptocurrency markets if they are to mature and achieve widespread public trust. The argument highlights that while the technology may be novel, the risks associated with financial transactions, especially those involving leverage and custodial services, remain the same.

According to the director, the industry’s desire for decentralization cannot bypass the need for enforceable standards and reliable mechanisms for dispute resolution. Operating in an unregulated void primarily serves to concentrate risk and leaves investors vulnerable to systemic shocks, a trend clearly demonstrated by various collapses and failures witnessed across the sector in recent years. The absence of rules does not foster stable innovation; rather, it breeds opacity and distrust.

This position indicates that the Administration sees regulatory intervention not as a barrier to innovation, but as a critical infrastructure required for responsible scale and integration into the global financial architecture. The clear message to the industry is that cooperation and adherence to robust market rules are prerequisites for long-term viability within the United States financial system.

Source: White House Crypto Council Director Says Operating Without Market Rules Is ‘Fantasy’