In an interview with the American Economic Liberties Project on January 25, Senator Elizabeth Warren of the United States, a skeptic of cryptocurrencies, urged the Securities Exchange Commission (SEC) to strengthen their commitment to the enforcement of cryptocurrency laws, pointing out that the crypto sector is already afraid of what’s coming.
Trump’s administration ushered in all forms of Crypto scam
During her remarks, the senator stated that after Gensler was sworn in as SEC chairman in April 2021, the Commission has made a decent start on resolving some of the issues brought about by the previous SEC officials during the Trump Administration.
According to Warren, a crypto market that was “full of junk tokens, unregistered securities, rug pulls, Ponzi schemes, pump and dumps, money laundering, and sanctions evasions” was allegedly opened up after the former SEC administration “essentially gave the green light” to do so.
Warren claims that the issues from the last administration are now being cleaned up under Gensler’s administration, which is making the cryptocurrency sector leaders afraid. She noted:
“It appears that the commission is still ramping up. That is why the industry is scared of a strong SEC, and that’s why it is spending millions of dollars each year lobbying to escape SEC oversight.”
Warren charges the SEC with showing more commitment to the enforcement of crypto laws
Warren, being a cryptocurrency critic, also accused cryptocurrency lending businesses, celebrities who promote crypto businesses, and inside traders of deceiving and defrauding retail investors. The senator also noted that the SEC must use the full force of its regulatory powers for it to reign in the frauds inflicted on American consumers.
She added:
“The SEC should double down and use its tools to enforce the rules, and where the SEC needs more cops on the beat, then Congress needs to step up with the resources and the new authorities that are needed to ensure the SEC can do its work at full strength in every corner of the crypto market”.
Additionally, the senator urged American regulators in the banking and environmental industries to enforce stricter accountability rules against some of the major figures in the crypto market. According to her,
“The commission has been loud and clear that crypto doesn’t get a pass for longstanding security laws that protect investors and ensure the integrity of our financial markets.”
Warren unqualified to discuss cryptocurrency matters
A post made by the American Economic Liberties Project on Twitter to notify people of the interview had the topic “Confronting the Crypto Challenge: Learning From a Meltdown Featuring Senator Elizabeth Warren.” The tweet generated lots of comments, with most classifying the senator as unqualified to discuss cryptocurrency issues.
1:30PM: We'll kick off an event with @RealBankReform and @SenWarren to examine the rise and fall of the crypto industry — and what it means for policymakers.
RSVP here. You won't want to miss it.https://t.co/nj8xsJbPur pic.twitter.com/A1saROKeZU
— American Economic Liberties Project (@econliberties) January 25, 2023
A Twitter account with the handle @BTCyoyo questions the non-profit organization, asking “Why would you host this event with a non-neutral senator on the topic of bitcoin and not include the other side? Also, how does Warren’s position on crypto promote economic liberties?
A second commenter noted that “asking Elizabeth Warren to speak on cryptocurrency is like asking guinea pig to speak on thermonuclear particle acceleration.”