Massachusetts Senator Elizabeth Warren has suggested that the cryptocurrency sector could potentially destroy the U.S. economy if there are no proper guardrails in place.
Warren has hashly criticized major crypto legislative efforts, claiming that she does not want to see the government signing off on “very weak regulation” specifically written bycrypto industry lobbyists.
“They also don’t put enough safeguards in place for consumer protection…and guardrails to make sure that crypto isn’t used to blow up our entire economy. So I’m very worried about that,” she told Bloomberg.
The influential progressive Democratic has warned that the CLARITY Act has a provision that would let any company listed on the New York Stock Exchange out of SEC oversight with the help of digitalization.
On Wednesday, after a record-shattering 10-hour vote, the House passed a procedural measure by a vote of 220–209 to advance the package of three crypto bills to the House floor (the CLARITY Act, the GENIUS Act, and the Anti‑CBDC Surveillance State Act).
Notably, the vote on the rule to consider the crypto bills has now become the longest vote in the history of the U.S. House of Representatives.
Addressing Powell rumors
Warren also expressed concerns about the independence of the U.S. Federal Reserve amid reports of Chair Jerome Powell’s potential ouster.
While making it clear that she disagrees with Jerome on monetary policy and on regulatory oversight, Warren stressed that firing Powell would be illegal.
As reported by U.Today, major cryptocurrencies briefly rallied on the news given that Powell’s early exit would likely weaken the U.S. dollar.