Crypto Policy: Ethics Rule Blocks Innovation

Ethics Rule Limits Crypto Expertise in Federal Service

• The Office of Government Ethics issued Legal Advisory 22-04 in 2022.
• This rule bars federal service for those holding cryptocurrencies, tokens, or stablecoins.
• Key agencies affected include Treasury, SEC, CFTC, and the Federal Reserve.
• Officials can hold traditional investments like JP Morgan stocks but not digital assets like bitcoin.
• The Blockchain Association has over 100 member companies impacted by this rule.

The Office of Government Ethics’ Legal Advisory 22-04 prevents individuals with cryptocurrency holdings from joining federal service, affecting key financial agencies and limiting expertise in digital asset policy development.