Federal Reserve Chairman Powell stated that it is time to "rethink" the issue of de-banking, as criticism has been raised that the cryptocurrency industry is being excluded from banking services.

During Tuesday's Senate Banking Committee hearing, committee chairman Tim Scott (R-S.C.) asked Powell if he would be willing to work with him to ensure that financial regulations do not "impose unnecessary burdens."

Powell responded, "I commit to working with you. We are indeed trying to avoid undue burden. Frankly, I think it's fair to rethink the issue of de-banking."

"We don't intend to do this, but sometimes regulation can cause things to happen and we need to improve on that," Powell added. Scott also asked Powell if he would be willing to work with lawmakers to end the de-banking issue, to which Powell agreed.