The U.S. Senate has voted to overturn the Securities and Exchange Commission (SEC)’s controversial SAB 121, which imposes regulatory burdens on digital asset custodians. The resolution also passed in the House and now faces a veto threat from President Joe Biden. Last week, the White House issued a statement: “If the President were presented with […]
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Senate Urged to Swiftly Overturn SEC’s ‘Misguided’ Crypto Rules
Following the U.S. House of Representatives passing a resolution to overturn the SEC’s Staff Accounting Bulletin 121 (SAB 121), Senator Cynthia Lummis has urged the Senate to do the same. The resolution aims to prevent regulatory overreach that makes it prohibitive for financial institutions to hold customers’ digital assets. Critics, including House Financial Services Committee […]
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Paraguayan Senate Supports Selling Power to Crypto Mining Companies, Criticizes Subpar Energy Agreements With Brazil
The Paraguayan Senate has approved a resolution supporting selling the country’s energy surplus to crypto mining companies, given the price and guarantees that these institutions offer. The declaration criticizes the subpar agreements that sell energy to Brazil for 25% of the fees collected for mining activities, calling to direct this energy to 20 new contracts […]
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US Senate Candidate Calls for Resignation of SEC Chair Gary Gensler
U.S. Senate candidate John Deaton has called for the resignation of U.S. Securities and Exchange Commission (SEC) Chairman Gary Gensler. “Under Gensler, the SEC has forgotten, or intentionally abandoned, its primary mission in protecting innocent investors,” he stressed. Deaton Calls for Gensler’s Resignation John Deaton, a U.S. Senate candidate running against incumbent U.S. Senator Elizabeth […]
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Argentine Senate Passes Reform Creating Cryptocurrency Entities Registry
The Argentine Senate passed a law that creates a registry for any institution that offers cryptocurrency services in the country. The CNV, the Argentine securities enforcer, will manage this registry, which also establishes obligations for crypto companies to deliver personal information on their customers and other data to government entities. Argentine Senate Passes Crypto Anti-Money […]
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CBDC Anti-Surveillance State Act Back in the Senate
The CBDC Anti-Surveillance State Act has been reintroduced in the Senate with the support of five U.S. senators. “As Americans face the prospect of an increasingly weaponized government, ensuring financial privacy is pivotal,” said one senator who supports the bill. A central bank digital currency (CBDC) “would open the door for the federal government to […]
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Pro-Crypto Lawyer John Deaton Enters Senate Race to Challenge Elizabeth Warren
Cryptocurrency advocate John Deaton has formally announced his candidacy for the Senate in Massachusetts, setting his sights on unseating the current Democratic Senator Elizabeth Warren from her position. “I’m excited for the opportunity to fight for change, and for the people of Massachusetts in the United States Senate,” Deaton wrote on Tuesday. Deaton vs. Warren: […]
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Pro-Crypto US Attorney Considers Challenging Elizabeth Warren in Massachusetts Senate Race
John Deaton, a U.S. lawyer known for his pro-crypto stance, is reportedly considering a run against Massachusetts Senator Elizabeth Warren. The Republicans are eager to nominate a formidable candidate against Warren. This strategy could compel her to concentrate on her political survival, potentially diverting her focus from supporting other Democrats. Pro-Crypto U.S. Lawyer to Decide […]
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Senate Ethics Committee Urged to Investigate Senator Elizabeth Warren on Misleading Crypto Statements
The CEO of the Chamber of Digital Commerce says the Senate Ethics Committee should launch a full investigation on Senator Elizabeth Warren for making false and misleading statements about crypto. “Senator Elizabeth Warren has misled the American people as well as the U.S. Congress on multiple fronts,” she stressed.
‘Senate Ethics Committee Should Launch a Full Investigation’
Chamber of Digital Commerce founder and CEO Perianne Boring slammed U.S. Senator Elizabeth Warren (D-MA) for making false and misleading statements regarding cryptocurrency in an interview with Fox Business on Thursday.
“Senator Elizabeth Warren has misled the American people as well as the U.S. Congress on multiple fronts,” the Chamber of Digital Commerce chief began. “First, she’s misled us to believe that crypto has an AML [anti-money laundering] problem,” she continued, emphasizing:
It does not have an AML problem. The vast majority of illicit finance go through the traditional financial system and legacy banking infrastructure. It’s not happening in the cryptocurrency space.
Boring then explained that every crypto transaction is recorded on a blockchain, adding that “law enforcement has greater tools to track and trace on a blockchain than they do on legacy infrastructures.”
The second area in which Senator Warren has misled Congress and the American public concerns her bill: the Digital Asset Anti-Money Laundering Act. “This bill was introduced under the guise of anti-money laundering to fix the non-existent compliance gap,” Boring described. “She has misled the U.S. Senate and now 20% of the U.S. Senate is sponsoring this bill that they think is going to address the compliance issue.”
The Chamber of Digital Commerce CEO pointed out: “If you read the legislation, you will quickly understand that the requirements are technically impossible to implement in a blockchain-based environment, making it illegal for U.S. persons to use the technology, which effectively bans it for U.S. persons.” She stressed that if the bill passes, it “would be absolutely detrimental” for the crypto space and innovation in the U.S.
Emphasizing that “misleading statements” about crypto “have been perpetuated by a member of the U.S. Senate, the crypto advocate stressed:
Elizabeth Warren must be taken seriously, and the Senate Ethics Committee should launch a full investigation on this.
The Chamber recently started a petition on Change.org titled “Stop The Crypto Ban.” At the time of writing, over 10,000 signatures have been collected.
Do you think the Senate Ethics Committee should launch a full investigation on Elizabeth Warren for making false and misleading statements about crypto? Let us know in the comments section below.
Senate Coalition Grows to Crack Down on Crypto’s Use in Illicit Finance
U.S. Senator Elizabeth Warren’s bill to crack down on crypto’s use in illicit finance has gained more support among lawmakers. “The Treasury Department is making clear that we need new laws to crack down on crypto’s use in enabling terrorist groups, rogue nations, drug lords, ransomware gangs, and fraudsters to launder billions in stolen funds, evade sanctions, fund illegal weapons programs, and profit from devastating cyberattacks,” said Senator Warren.
Elizabeth Warren’s Crypto Bill Gains More Support
U.S. Senator Elizabeth Warren (D-MA) announced on Monday “an expanded coalition of Senate support” for her bipartisan Digital Asset Anti-Money Laundering Act. Senators Raphael Warnock (D-GA), Laphonza Butler (D-CA), Chris Van Hollen (D-MD), John Hickenlooper (D-CO) and Ben Ray Luján (D-NM) have joined the bill as cosponsors.
The Digital Asset Anti-Money Laundering Act “would mitigate the illicit finance risks that crypto poses by closing loopholes and bringing the digital asset ecosystem into greater compliance with the anti-money laundering and countering the financing of terrorism (AMF/CFT) frameworks that govern much of the financial system,” the announcement describes. Senator Warren first unveiled the bill in December last year. In July, she and Senators Roger Marshall (R-KS), Joe Manchin (D-WV), and Lindsey Graham (R-SC) reintroduced the bill. Crypto proponents have called this bill the most direct attack on the personal freedom and privacy of crypto users.
Besides Warren, Marshall, Manchin, and Graham, the bill’s existing cosponsors comprise Senators Gary Peters (D-MI), Dick Durbin (D-IL), Tina Smith (D-MN), Angus King (I-ME), Jeanne Shaheen (D-NH), Bob Casey (D-PA), Richard Blumenthal (D-CT), Michael Bennet (D-CO), Catherine Cortez Masto (D-NV), Sheldon Whitehouse (D-RI), and John Fetterman (D-PA).
Senator Warren commented:
The Treasury Department is making clear that we need new laws to crack down on crypto’s use in enabling terrorist groups, rogue nations, drug lords, ransomware gangs, and fraudsters to launder billions in stolen funds, evade sanctions, fund illegal weapons programs, and profit from devastating cyberattacks.
“The lack of basic legal safeguards around crypto opens up Americans to countless risks. What’s more, crypto has become the payment method of choice for terrorist organizations, drug cartels, and authoritarian regimes in order to fund their illicit activities,” said Senator Van Hollen. “Crypto should be governed by the same transparency rules as traditional banks to protect Americans and help ensure it isn’t used to facilitate illegal behavior by criminal enterprises and rogue nations.”
This bill has also been endorsed by Bank Policy Institute, Massachusetts Bankers Association, Transparency International U.S., Global Financial Integrity, National District Attorneys Association, Major County Sheriffs of America, Massachusetts Sheriffs’ Association, AARP, National Consumer Law Center (on behalf of its low-income clients), and National Consumers League.
The announcement details that the Digital Asset Anti-Money Laundering Act would:
Extend Bank Secrecy Act (BSA) responsibilities, including know-your-customer requirements, to digital asset wallet providers, miners, validators, and other network participants that may act to validate, secure, or facilitate digital asset transactions.
The bill will also “Address a major gap with respect to ‘unhosted’ digital wallets … by directing FinCEN to finalize and implement its December 2020 proposed rule, which would require banks and money service businesses (MSBs) to verify customer and counterparty identities, keep records, and file reports in relation to certain digital asset transactions involving unhosted wallets or wallets hosted in non-BSA compliant jurisdictions,” the announcement notes.
In addition, it would “Strengthen enforcement of BSA compliance” and “Extend BSA rules regarding reporting of foreign bank accounts to include digital assets by requiring United States persons engaged in a transaction with a value greater than ,000 in digital assets through one or more offshore accounts to file a Report of Foreign Bank and Financial Accounts (FBAR) with the Internal Revenue Service.”
In October, Warren and over 100 lawmakers asked the Biden administration to address “crypto-financed terrorism” after reports claimed that Hamas raised millions in crypto to fund its operations. Blockchain analytics firm Elliptic, however, has debunked the claim, stating that there is no evidence that Hamas received significant crypto donations. While Warren is worried about crypto’s illicit use, less than 1% of the trillions transacted annually in crypto are illicit. Meanwhile, the UN estimates that annually between 2% to 5% of global GDP (0 billion – trillion) is used for illicit activities and money laundering through the traditional banking system and cash.
What do you think about Senator Elizabeth Warren’s crypto bill gaining support among lawmakers? Let us know in the comments section below.