Crypto executives meet White House officials to discuss policy, grievances during virtual roundtable

Crypto industry leaders and top White House officials met for a second time in about a month to discuss future crypto policy. 

They gathered virtually just before noon Eastern time on Thursday, a source familiar said in an interview with The Block. Those participating included government officials such as U.S. Deputy Secretary of the Treasury Wally Adeyemo, National Economic Council Director Lael Brainard, White House deputy chief of staff Bruce Reed and director of legislative affairs for Vice President Kamala Harris Kristine Lucius. Rep. Ro Khanna, D-Calif., organized the event,  the source said. 

From the crypto industry, Ripple executives Brad Garlinghouse and Chris Larsen, Uniswap CEO Hayden Adams, Stellar Development Foundation Denelle Dixon, Circle CEO Jeremy Allaire, billionaire Mark Cuban, Coinbase Chief Legal Officer Paul Grewal and former White House Communications Director Anthony Scaramucci attended, according to the source. 

Joshua Schenk, policy advisor at the White House as well as venture capitalist Ron Conway, Andreessen Horowitz partner Chris Dixon, Electric Capital Co-Founder Avichal Garg and Kraken CEO David Ripley. 

There was a bit of "airing of grievances," but they also spoke about use cases and policy outcomes, including what regulators should be looking for and a focus on jobs and economic impact, the source said. 

President Biden's senior adviser Anita Dunn, lawmakers and crypto leaders met last month in Washington D.C. at the Willard Hotel hosted by Rep. Khanna to talk about a range of topics, such as actions taken by the U.S. Securities and Exchange Commission to the agency's staff accounting bulletin and the need for the Biden administration to engage with the crypto industry. Thursday's meeting was much smaller, the source said. 

'The big difference was who attended'

The Thursday meeting was different from last month's because Brainard and Adeyemo were there, the source said. 

"The big difference was who attended, which you had Wally and Lael, which are really the most senior level representatives overseeing crypto policy in the Biden administration in terms of non-regulators," the source said. "So having Lael and Wally there really changed the dialogue to have people who are actually responsible for setting policy." 

"That is very much seen as moving the ball forward," the source said. Both Brainard and Adeyemo were "very inquisitive," they added. 

Coinbase's Grewal called on the White House to back legislation to regulate the crypto industry. The House passed a market structure bill to regulate the industry at large in May. Seventy-one Democrats voted in support of the bill, including former Speaker of the House Rep. Nancy Pelosi of California. Lawmakers in the Senate are also working on bills. 

"Any conversation on moving beyond this Administration's unproductive record on crypto is positive," Grewal said. "It isn't too late but time is running short. The White House should publicly back the Senate's efforts to pass a bipartisan market structure bill much as the House has done and sign it into law."  

Crypto has played a significant role in this upcoming election season as millions of dollars have flooded into super political action committees and presidential candidates Kamala Harris and Donald Trump have begun outreach to the industry. 

The Republican Party expressed support for crypto firms and investors in its platform for the 2024 elections, including vowing to end an “unlawful and un-American crackdown” on the U.S. crypto industry. Trump has also been openly friendly to the industry. 

Harris' team has meanwhile begun reaching out to the crypto industry shortly after President Joe Biden announced he would not be seeking reelection and endorsed Harris to replace him. Harris has not yet openly taken a position on crypto.

Next week, grassroots organization Crypto4Harris will host a town hall where crypto industry leaders will speak, including Crypto Council for Innovation CEO Sheila Warren and billionaire Mark Cuban. 

"Crypto is building a movement to support Kamala Harris," Crypto4Harris said in a post on X earlier this week. "A group of industry leaders, policy experts, and everyday crypto-enthusiasts are organizing to back Harris while pushing for a nuanced policy stance that positions America as a leader in digital assets." 

Update: Aug. 8, 1:40 a.m. UTC to include comments from Coinbase Chief Legal Officer Paul Grewal