FDIC Chair Martin Gruenberg Announces Resignation Effective January 19
Martin Gruenberg, chair of the Federal Deposit Insurance Corporation (FDIC), announced his resignation effective January 19, prior to the Trump administration's inauguration.
A Reuters report on November 20 indicated that Gruenberg confirmed his decision to FDIC employees and informed outgoing President Joe Biden.
Gruenberg's involvement in Operation Choke Point 2.0, which targeted crypto-friendly banks like Silvergate, has negatively impacted his reputation in the crypto industry. The operation aimed to restrict liquidity flow from banks to the crypto sector. Republican Representative Tom Emmer stated:
“Martin Gruenberg was an architect of Operation Choke Point 2.0 and drove the FDIC into the ground, failing to protect his own employees from the toxic work environment that he cultivated.”
Criticism of Gruenberg has come from various figures in the Bitcoin and crypto sectors, including Nic Carter from Castle Island Ventures.
US Senators Criticize FDIC Chair
Following his resignation, Senator Tim Scott criticized Gruenberg, stating the announcement was overdue and highlighting his failure to accept responsibility. Scott remarked:
“I look forward to a new leadership at the FDIC who will support the agency’s employees, hold bad actors accountable, and restore a respectable office culture.”
Senator Cynthia Lummis (R-WY) echoed these sentiments, expressing hope for new leadership to restore professionalism within the FDIC.
Gruenberg's departure follows his earlier announcement to step down and concludes his tenure at the FDIC, where he served intermittently as chair or acting chair since 2005. His exit allows former President Trump to appoint a new FDIC leader. The crypto industry is also anticipating changes at the SEC with discussions surrounding potential replacements for Chair Gary Gensler, including opposition from Ripple CEO Brad Garlinghouse regarding Bob Stebbins' candidacy.