WASHINGTON – Today, U.S. Senator Tommy Tuberville (R-AL) reintroduced two pieces of legislation related to protecting American cryptocurrency.
Senator Tuberville’s first bill, the Financial Freedom Act, would reverse a Biden-era memo from the U.S. Department of Labor (DOL) that limits options for where Americans can invest their retirement earnings. The Financial Freedom Act would allow Americans to choose how they want to invest their money, including in crypto.
“The Biden administration was hellbent on controlling every aspect of Americans’ lives,” said Senator Tuberville. “Meddling in 401(k) investments through overregulation restrains financial growth and restricts personal liberty. The federal government, which is $36 trillion debt, shouldn’t be telling anyone how to invest their money. My bill ensures that hardworking Americans have the financial freedom to make decisions about how to invest their retirement savings.”
Senator Cynthia Lummis (R-WY) is a cosponsor of this legislation.
Senator Tuberville’s second bill, the Prohibiting Foreign Adversary Interference in Cryptocurrency Markets Act, would prohibit the Commodity Futures Trading Commission (CFTC) from registering a digital commodity platform that is owned in whole or in part by an entity organized or established in China. It also requires the CFTC to revoke the registration of any digital commodity platform in the event an entity with ties to the Chinese Communist Party (CCP) acquires all or any part of the ownership of the entity.
Digital commodity platforms collect and store personally identifiable information — including Social Security numbers, mailing addresses, and sensitive financial account data — of their users. Allowing entities based in the PRC to access this information raises serious concerns related to investor protection, data privacy, national security, sanctions compliance, and anti-money laundering efforts. Companies based in the PRC all ultimately answer to the CCP.
“For four years, the Biden administration put America last – bowing to China at every turn and allowing our adversaries to get ahead,” said Senator Tuberville. “Thanks to President Trump, those days are over. Crypto is the future and we have to make sure our markets are protected from bad actors like China who want to destroy us. This critical bill will protect our markets and make Americans safer.”
Senator Cindy Hyde-Smith (R-MS) is a cosponsor of this legislation.
Senator Tuberville discussed his legislation on Fox Business with Larry Kudlow.
BACKGROUND:
FINANCIAL FREEDOM ACT
The Financial Freedom Act would reverse regulatory guidance released by the Employee Benefits Security Administration, an agency inside of U.S. Department of Labor (DOL). The guidance attempts to bar 401(k) investors from investing in cryptocurrency and undermines the ability of 401(k) plans to offer brokerage windows, which give retirement plan participants the ability to personally control how their assets are invested.
The DOL guidance threatens that employers and investment firms could be subject to investigation and enforcement actions should they allow individuals using brokerage windows to invest in cryptocurrency. Senator Tuberville’s bill would bar such investigations and enforcement actions, opening the door for Americans to invest their savings in investments of their choice.
Senator Tuberville has consistently been an outspoken advocate in Congress for personal financial freedom.
- Senator Tuberville previously introduced the Financial Freedom Act in the 117th Congress and penned an op-ed warning against government infringement on personal investment decisions.
- Senator Tuberville spoke on the Senate floor in support of the Financial Freedom Act.
- Senator Tuberville joined 36 of his U.S. Senate colleagues in introducing the Fair Access to Banking Act, a bill to protect fair access to financial services by preventing banks and financial institutions from discriminating against law-abiding businesses.
- Senator Tuberville added his support to a resolution that would challenge the Biden administration’s rule to allow retirement fund managers to consider and prioritize Environmental, Social, and Governance (ESG) factors while making retirement investment decisions.
- Senator Tuberville introduced legislation to protect Americans’ financial privacy against government surveillance.
Prohibiting Foreign Adversary Interference in Cryptocurrency Markets Act
The CCP’s efforts to mine data and surveil the public are well known, and decisive action is needed to safeguard the American people. Under current law, U.S. regulators have limited tools to block the purchase of a U.S. digital commodity platform by a CCP-tied entity. The Prohibiting Foreign Adversary Interference in Cryptocurrency Markets Act will help to wall off the burgeoning U.S. digital asset industry from Chinese interference and help to ensure continued American leadership in financial innovation.
Senator Tuberville believes the CCP seeks to overtake the United States as the top global superpower and that America must face China’s growing military and non-military threats with clear-eyed resolve.
Since assuming office in the U.S. Senate in 2021, Senator Tuberville has led and supported numerous efforts to protect American investments, intellectual property, and national security from China.
- Senator Tuberville led the call for an investigation into Webull Financial, LLC and Moomoo, Inc. – two Chinese-owned stock trading apps operating in the United States that are registered with the SEC and FINRA.
- Both apps are widely used by American investors and freely collect and store sensitive information about users, including Social Security numbers, mailing addresses, and financial account data.
- In May 2023, Senator Tuberville sent a letter to SEC Chair Gary Gensler and FINRA President and CEO Robert Cook calling for oversight of the trading platforms due to the potential CCP access of American user data. In the letter, Senator Tuberville asked for answers to critical questions about the ability of the SEC and FINRA to examine the Chinese companies’ compliance with U.S. law.
- In March 2023, Senator Tuberville led a congressional delegation to Panama to discuss countering China’s growing influence in the region.
- On the trip, Senator Tuberville met with American and Panamanian officials to strategize ways to combat Chinese attempts to control the Panama Canal, which would give China enormous influence over global supply chains.
- To curb Chinese influence in the economy, Senator Tuberville introduced legislation to ban members of the CCP from receiving B-1 and B-2 visas to the United States for vacation and non-official government business.
- The CCP is responsible for trillions of dollars of intellectual property theft each year. To curb growing foreign influence and crime and discourage other Chinese nationals from joining the CCP, the bill cosponsored by Senator Tuberville would bar all 93 million CCP members from entering the United States using nonimmigrant B-1 and B-2 visas.
- Senator Tuberville believes the retirement savings of our military and federal government employees, known as the Thrift Savings Plan (TSP), should not be invested in the economies of our adversaries, such as China.
- Senator Tuberville wrote about this issue in the Wall Street Journal in a column entitled, “I’ll Keep Veterans’ Pensions Safe From Communism” and discussed the issue on Fox Business.
- Senator Tuberville continued the push for accountability from the Federal Retirement Thrift Investment Board (FRTIB) surrounding the board’s policy on foreign investments.
- Senator Tuberville placed a hold on nominees to the FRTIB until the nominees provided clarification regarding foreign investment policies, which forced the nominees to commit to opposing TSP investment in China.
MORE:
Tuberville Leads Bipartisan Bill to Block CCP Ownership of American Crypto Companies
Tuberville, Lummis Work to Establish Strategic Bitcoin Reserve
Tuberville Takes Action to Protect Conservatives, Taxpayers from Political Discrimination by Banks
Tuberville Reintroduces Bill to Keep the Government Out of Americans’ Investment Decisions
Tuberville Continues Push to Protect Retirement Savers’ Financial Freedom
New Tuberville Legislation Promotes Financial Freedom for 401(k) Investors
Senator Tommy Tuberville represents Alabama in the United States Senate and is a member of the Senate Armed Services, Agriculture, Veterans’ Affairs, HELP and Aging Committees.
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