US Lawmaker Says ‘Too Much Money and Power’ Behind Crypto to Ban It

U.S. Representative Brad Sherman says Congress has not banned crypto due to the fact that “there’s excessively overmuch wealth and powerfulness down it.” He elaborated: “Money for lobbying and wealth for run contributions works, oregon radical wouldn’t bash it, and that’s wherefore we haven’t banned crypto.”

US Lawmaker connected Regulation and Why Congress Won’t Ban Crypto

Congressman Brad Sherman (D-CA) shared his views connected cryptocurrency and its regularisation successful an interrogation with the Los Angeles Times, published Sunday.

The U.S. lawmaker from California, who chairs a House subcommittee connected capitalist protection, wants to outlaw cryptocurrency but does not judge Congress volition instrumentality specified action. “I don’t deliberation we’re going to [ban crypto] anytime soon,” helium told the quality outlet.

“Money for lobbying and wealth for run contributions works, oregon radical wouldn’t bash it, and that’s wherefore we haven’t banned crypto,” Sherman explained, elaborating:

We didn’t prohibition it astatine the opening due to the fact that we didn’t recognize it was important, and we didn’t prohibition it present due to the fact that there’s excessively overmuch wealth and powerfulness down it.

Not lone is the congressman acrophobic astir idiosyncratic investors being defrauded, but helium besides views cryptocurrency arsenic a menace to the nationalist information of the U.S. He believes crypto poses a systemic threat, enables criminals, and undermines the U.S. dollar’s dominance.

The lawmaker is peculiarly disquieted astir crypto mixing services similar Tornado Cash. In August, the U.S. Treasury Department’s Office of Foreign Asset Control (OFAC) banned the Ethereum mixing application, claiming that the mixer has helped North Korean hackers specified arsenic the hacking syndicate known arsenic Lazarus Group.

Sherman admitted that determination is small helium tin bash to halt investors from spending their wealth recklessly. “It is hard to beryllium moving the subcommittee dedicated to capitalist extortion successful a state successful which radical privation to wager connected [meme coins],” the U.S. lawmaker opined, asserting:

Cryptocurrency is simply a meme you put in, successful the hopes that you tin merchantability it to idiosyncratic other earlier it tanks. That’s the bully happening astir a Ponzi scheme.

Sherman proceeded to sermon crypto regularisation absent a ban. Liken crypto to a banal oregon security, helium believes that the Securities and Exchange Commission (SEC) should oversee the crypto sector, citing the regulator’s size, expertise, and aggressive enforcement actions.

However, three bills person been introduced successful Congress this twelvemonth to marque the Commodity Futures Trading Commission (CFTC) the superior regulator of the crypto industry.

In July, Sherman urged the SEC to spell aft large crypto exchanges that traded XRP. The securities watchdog said successful January that it had taken 97 crypto-related enforcement actions. In May, the regulator said it nearly doubled the size of its crypto enforcement unit.

What bash you deliberation astir the comments by U.S. Rep. Brad Sherman? Let america cognize successful the comments conception below.