Digital Chamber Pushes to Lift Crypto Ban for Federal Workers

The Digital Chamber of Commerce is urging the U.S. government to lift its ban on cryptocurrency ownership for federal employees, proposing that they be allowed to hold a small, limited amount of crypto. This de minimis allowance would help avoid conflicts of interest while giving regulators a practical understanding of digital assets, which could lead to more informed policy decisions.

In a letter sent on November 13 to Shelley Finlayson, Acting Director of the Office of Government Ethics (OGE), the Chamber formally requested the overturn of OGE Legal Advisory 22-04, which prohibits federal employees from owning cryptocurrency, including stablecoins. The rule was enacted in 2022 under the Biden administration due to concerns that employees might use their positions to benefit financially from crypto holdings.

The Chamber argues that allowing limited crypto holdings—similar to the rules for other asset classes—would enable federal employees to have a closer look at the digital asset industry, promoting a better understanding of the sector they regulate. Cody Carbone, the Chamber’s president, suggested that allowing employees to hold a small, safe amount of cryptocurrency would create a fairer approach to handling potential conflicts of interest, aligning with how other financial assets are managed.

The Chamber also highlighted that lifting the ban could have broader advantages, helping policymakers gain insight into emerging technologies and supporting well-informed regulation.

In addition to the letter, the Chamber released a report on November 12 advocating for clearer rules around USD-backed stablecoins. The report, titled “How Stablecoins are Extending US Dollar Dominance: A Policymaker’s Guide to Action,” emphasizes that over 98% of stablecoins are linked to the U.S. dollar. The Chamber suggests that promoting stablecoin use would strengthen the dollar’s role in global finance and expand access to financial services in developing markets.

By supporting stablecoins pegged to the dollar, the Chamber believes the U.S. could solidify the dollar’s dominance and counter competitive financial systems from other nations. This would allow the U.S. to maintain its influence over global monetary systems and ensure the dollar's continued relevance in an evolving financial landscape.