Hi friend, 

As you likely know, our Co-Founder and President, Dennis Kelleher, has been an outspoken advocate for prioritizing and protecting investors, consumers, markets, and financial stability when it comes to the crypto industry, enforcement, and policy. In addition to the grave threat crypto poses to our financial system and economy, we are particularly offended by the way the industry targets and preys on the most vulnerable among us, low- and moderate-income Americans, and communities of color.

Nevertheless, Dennis was invited to participate in an event hosted by Axios called “The State of Play for Crypto Policy”. The event was sponsored by a crypto company and included a lineup of crypto supporters, including a Congressman, a Senator, and the head of policy for the Crypto platform Coinbase. We applaud Axios for including Dennis and ensuring that the audience benefited from hearing both sides of the debate over crypto.

What we have, unfortunately, is too many people who are bending to the power, money and might of the crypto industry, and I think the American people are going to pay the price in the future for that, if people don't actually make that industry follow the law like everybody else.

- Dennis Kelleher

We knew that this wouldn’t likely be the friendliest audience for a fact-based discussion that rebuts the fact-free propaganda coming from the crypto industry’s massive influence campaign. That has included hundreds of millions of dollars in campaign contributions, lobbying expenditures, astroturf activities, lawyers’ fees, and media spending from the crypto industry. It hasn’t been easy standing up the crypto industry and its many very powerful allies. But it’s the right thing to do and Better Markets has been doing it since former FTX CEO (and now criminally convicted and imprisoned) Sam Bankman-Fried and his criminal co-conspirators tried to buy Washington in 2021-2022, when we alone rejected their bribe of “$1 million or more” to support their predatory business plans.

This is a key part of Better Markets’ role and value: a fearless, independent voice for the public interest. The financial industry will always have the resources to tell its side of the story and influence Washington to further its narrow, profit maximizing interests – or, as Dennis says, their “power, money and might.”  This, however, too often drowns out the voices and interests of hardworking Main Street Americans.

That’s why we speak truth to power and take on special interests even when the odds are stacked against us and the interests of Main Street Americans.  Yes, our fight against crypto and the wider financial industry often feels like David vs. Goliath. But we all remember who won that battle.

So, even if you don’t care about crypto or understand how it impacts you, please take a few minutes to listen to Dennis’ discussion of these key issues. He avoids jargon and talks in a way that everyone can understand.

Best, Travis

Travis Horr
Better Markets Director of External Affairs

P.S. Our ability to be an effective counterweight to the industry comes from the uniquely powerful experience and expertise of our team and I’m pleased to introduce you to our newest team member, George French. After 38 years at the FDIC, including in some of the most senior positions, he has joined Better Markets as a Senior Fellow, and we are lucky to have him.

This month, a federal judge ruled against the CFTC in the case KalshiEX LLC v. CFTC, overturning a ban on a proposed event contract that will allow for betting on U.S. elections. Although this case is still moving through the appellate process, this is a dangerous move that opens the floodgates to unprecedented gambling on U.S. elections, eroding public trust in both markets and democracy. Better Markets has been fighting to stop this proposal and protect our democracy from the beginning and we will continue to stand up for the public interest in this case.

The Federal Reserve capitulated to Wall Street by agreeing to weaken its original proposal to raise capital requirements for the largest banks. The banks pose a massive risk to the country by being undercapitalized, as proved yet again in the banking crisis of 2023, and gutting the original rule is baseless and unjustified.

This month, the FBI released a report detailing more than 69,000 complaints regarding financial frauds involving crypto in 2023, with estimated losses totaling $5.6 billion. In our new fact sheet, we highlight how crypto frauds ensnare retail investors.

In recent years, the Supreme Court has not only gutted individual liberties but also escalated its attacks on the agencies that protect the public from a wide range of threats, including predatory financial practices. Our new report reviews the Court’s  financial regulation and administrative law decisions from last term, looks ahead to the term beginning on Monday, October 7, 2024, and closes by reviewing some of the reforms that have emerged in response to the Court’s most extreme and ideological decisions. 

Allowing Kalshi's political event contracts is a dangerous move that opens the floodgates to unprecedented gambling on U.S. elections, eroding public trust in both markets and democracy.

- Cantrell Dumas in Reuters

September 12
Money rolls in on US election bets after judge clears the way

September 16
Firms jostle to sell alternative assets to wealthy investors

September 18
Get Ready to See Stock Prices in Half-Pennies

September 19
Lawmakers say crypto legislation could come by year-end

Each month our legal team outlines some of the top cases we're keeping an eye on, the Amicus "Friend of the Court" Briefs we have filed, and why everyone with a bank account, credit card, mortgage loan, or retirement loan should be interested in those cases.  

September is always a busy month on Capitol Hill, with lawmakers returning to Washington after the August recess. This September was no different, with Committees holding important oversight hearings and react to recent court decisions.

After 38 years of public service at the Federal Deposit Insurance Corporation, George French has joined Better Markets as a Senior Fellow.

Fed’s high-rates era handed $1tn windfall to US banks
Financial Times, September 22, 2024

As the new Supreme Court term nears, regulatory power faces a fresh test
Reuters, September 16, 2024

Trump Allies Are Working on Plans to Privatize Fannie and Freddie
The Wall Street Journal, September 13, 2024