Congressman Flood Commends President Trump, SEC Commissioners for Rescinding SAB 121

WASHINGTON, D.C. – Today, U.S. Congressman Mike Flood issued a statement following news that former U.S. Securities and Exchange Commission (SEC) Chair Gary Gensler’s Staff Accounting Bulletin (SAB) 121 had been rescinded.

“For four years, SEC Chair Gary Gensler and the Biden administration used regulation by enforcement and regulation by guidance as a tactic to suppress and target digital assets. SAB 121 is a prime example of Chairman Gensler’s regulatory overreach. Over the last two years, I worked to build a bipartisan, bicameral consensus to overturn this harmful rule. Unfortunately, after passing the House and Senate, my resolution rescinding SAB 121 was vetoed by President Joe Biden. Today is a new day for digital assets. Rescinding SAB 121 opens up a new era for cryptocurrency and our digital financial future. This is just the beginning. I look forward to working with President Trump and my colleagues in Congress as we pave the way for digital innovation and work to get a digital assets framework in place in the coming months."

More information about the rescission of SAB 121 can be found here.

Rep. Flood was the original sponsor of H.J. Res. 109 in the 118th Congress, which sought to repeal SAB 121 over concerns that it discourages banks from providing custodial services to digital assets investors. U.S. Senator Cynthia Lummis (R-WY) introduced a companion measure in the Senate. Rep. Flood’s resolution passed in both chambers but was later vetoed by President Biden on May 31, 2024. More background about H.J. Res. 109 can be found here.

Rep. Flood is a member of the House Financial Services Committee, serving as the Chairman of the Housing and Insurance Subcommittee as well as a member of the Financial Institutions Subcommittee and the Monetary Policy, Treasury Market Resilience, and Economic Prosperity Task Force.