The prospect that the United States is attempting to “quietly” outlaw bitcoin is posing a challenge for bitcoin and cryptocurrency businesses.
According to a prominent bitcoin and cryptocurrency investor, the recent banking crisis may have been the result of a state-level campaign against banks that were supportive of cryptocurrencies.
After receiving a warning from the crypto lobbying group Coin Center that a crackdown on TikTok may pave the way for a bitcoin prohibition, prominent Democrat senator Elizabeth Warren has now indicated she is “creating an anti-crypto army” as part of her reelection campaign.
The former candidate for the presidency of the United States wrote on Twitter, she is in this fight to put the government on the side of working folks, adopting a line from a recent Politico piece that stated she is creating an anti-crypto army.
Warren has led the charge against a flurry of anti-bitcoin and anti-crypto measures that have been presented over the past year. Warren serves on the Senate Banking Committee, which controls the U.S. Securities and Exchange Commission (SEC).
In December, alongside the introduction of the Digital Asset Anti-Money Laundering Act, Warren stated that rogue nations, oligarchs, drug lords, and human traffickers are using digital assets to smuggle billions in stolen funds, evade sanctions, and finance terrorism. She continued by saying that the bill would assist remove cryptocurrency money laundering loopholes.
Since the U.S. Treasury Department’s Office of Foreign Assets Control (OFAC) blacklisted the crypto mixing tool Tornado Cash this summer, the industry has been on high alert, worried that this is only the beginning of other enforcement actions.
The Restrict (restricting the creation of security dangers that threaten information and communications technology) Act was just introduced, and Coin Center warned this week that it would pave the way for a future ban on bitcoin and other cryptocurrencies.
Although companies like TikTok are the main targets of this legislation, The language of the law, according to Coin Center, may be used to obstruct cryptocurrency transactions and, in extreme circumstances, deny Americans’ access to open-source software or protocols like bitcoin.
Following the most recent price drop that destroyed around $2 trillion in market value through 2022, threw numerous crypto enterprises into upheaval, and culminated in the collapse of the biggest exchange FTX in November, anti-bitcoin and anti-crypto sentiment has greatly intensified.
Kevin Reynolds, editor-in-chief of Coindesk, stated in an opinion piece that if authorities do seek to stop that advancement, they should declare that intention openly and pursue it through transparent democratic processes. He hope the Biden administration is not trying to sabotage cryptocurrency. If that’s the case, the White House must plainly convey its good intentions.
