{"id":603915,"date":"2021-07-27T15:21:48","date_gmt":"2021-07-27T19:21:48","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=603915"},"modified":"2021-07-27T15:21:52","modified_gmt":"2021-07-27T19:21:52","slug":"warren-asks-biden-administration-to-crack-down-on-cryptocurrencies","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/warren-asks-biden-administration-to-crack-down-on-cryptocurrencies\/","title":{"rendered":"Warren Asks Biden Administration To Crack Down On Cryptocurrencies"},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"&quot;\"><div class=\"counts mashsbcount\">18<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Fwarren-asks-biden-administration-to-crack-down-on-cryptocurrencies%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=603915&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><div><img decoding=\"async\" src=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-content\/uploads\/2021\/07\/Elizabeth-Warren-1.jpg?w=1200&amp;h=800&amp;ixlib=react-9.0.3\" class=\"ff-og-image-inserted\" \/><\/div>\n<p><span>Sen. Elizabeth Warren (D-MA) asked Treasury Secretary Janet Yellen to consider regulating cryptocurrencies.<\/span><\/p>\n<p><span>Writing to Yellen in her official capacity as Chair of the <\/span><a href=\"https:\/\/home.treasury.gov\/policy-issues\/financial-markets-financial-institutions-and-fiscal-service\/fsoc\/about-fsoc\"><span>Financial Stability Oversight Council<\/span><\/a><span>, Warren said that the rising popularity of cryptocurrencies \u2014 which are not controlled by any central bank or other monetary authority \u2014 demands federal regulation.<\/span><\/p>\n<p><span>The lawmaker\u2019s <\/span><a href=\"https:\/\/www.warren.senate.gov\/imo\/media\/doc\/FSOC%20Crypto%20Letter%2007.26.2021.pdf\"><span>letter<\/span><\/a><span> explains:<\/span><\/p>\n<blockquote readability=\"12\">\n<p><i><span>I have become increasingly concerned about the dangers cryptocurrencies pose to investors, consumers, and the environment in the absence of sufficient regulation in the United States. However, as the demand for cryptocurrencies continues to grow and these assets become more embedded in our financial system, the Council must determine whether these trends raise concerns beyond investor and consumer protection and extend to broader systemic vulnerabilities that could threaten financial stability.<\/span><\/i><\/p>\n<\/blockquote>\n<p><span>Warren noted that 27% of hedge funds have cryptocurrency holdings, while banks\u2019 holdings of digital assets create \u201cliquidity, credit, market, and operational risks.\u201d She also pointed to vulnerabilities introduced by \u201cdecentralized finance,\u201d by which users can \u201cengage in a variety of financial activities \u2014 including lending, borrowing, and trading derivatives to take on leverage \u2014 without an intermediary like a bank.\u201d<\/span><\/p>\n<p><span>The letter continues:<\/span><\/p>\n<blockquote readability=\"16\">\n<p><i><span>These examples demonstrate the extent to which cryptocurrencies currently touch or can ripple through nearly every corner of the financial system. As such, it is essential that the policy response to the risks posed by these assets is coordinated and holistic, rather than fragmented amongst individual financial agencies\u2026<\/span><\/i><\/p>\n<p><i><span>FSOC should review this matter and determine whether it is appropriate to utilize its statutory authority to contain the systemic risks posed by the growing cryptocurrency market. The longer that the United States waits to adapt the proper regulatory regime for these assets, the more likely they will become so intertwined in our financial system that there could be potentially serious consequences if this market comes under stress.&nbsp;<\/span><\/i><\/p>\n<\/blockquote>\n<p><span>Beyond the Biden administration, policymakers in the Federal Reserve have their eye on the growing cryptocurrency market.<\/span><\/p>\n<p><span>During a congressional <\/span><a href=\"https:\/\/www.dailywire.com\/news\/watch-fed-chair-says-his-mind-is-open-on-a-digital-dollar\"><span>hearing<\/span><\/a><span> two weeks ago, Fed Chair Jerome Powell explained that the central bank is weighing the creation of a \u201cdigital dollar\u201d that would replace cryptocurrencies and stablecoins, which are digital assets that peg themselves to another asset such as gold or the dollar.<\/span><\/p>\n<p><span>Central bank digital currencies are in various stages of development and implementation in nations such as <\/span><a href=\"https:\/\/www.wsj.com\/articles\/china-creates-its-own-digital-currency-a-first-for-major-economy-11617634118\"><span>China<\/span><\/a><span>, <\/span><a href=\"https:\/\/www.coindesk.com\/ecuador-bans-bitcoin-legislative-vote\"><span>Ecuador<\/span><\/a><span>, <\/span><a href=\"https:\/\/www.reuters.com\/article\/thailand-economy-cenbank\/thai-central-bank-to-test-retail-baht-digital-currency-next-year-idUSL4N2LV0WA\"><span>Thailand<\/span><\/a><span>, and <\/span><a href=\"https:\/\/www.arabianbusiness.com\/banking-finance\/455283-uae-saudi-arabia-cenbanks-satisfied-with-results-of-common-digital-currency-plan#:~:text=The%20central%20banks%20of%20the,for%20a%20common%20digital%20currency.&amp;text=Plans%20to%20develop%20the%20Aber,Blockchain%20and%20distributed%20ledgers%20technologies.\"><span>Saudi Arabia<\/span><\/a><span>. CBDCs mimic cryptocurrencies \u2014 such as bitcoin, ethereum, and dogecoin \u2014 through their use of blockchain technology, with the potential added benefits of stability and widespread acceptance. However, users of CBDCs could lose the benefits of the decentralization offered by other cryptocurrencies.<\/span><\/p>\n<p><i><span>The Daily Wire is one of America\u2019s fastest-growing conservative media companies and counter-cultural outlets for news, opinion, and entertainment. Get inside access to The Daily Wire by becoming a <\/span><\/i><a href=\"https:\/\/www.dailywire.com\/subscribe\"><i><span>member<\/span><\/i><\/a><i><span>.<\/span><\/i><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Sen. Elizabeth Warren (D-MA) asked Treasury Secretary Janet Yellen to consider regulating cryptocurrencies.Writing to Yellen in her official capacity as Chair of the Financial Stability Oversight Council, Warren said that &#8230;<\/p>\n","protected":false},"author":1,"featured_media":2315279,"comment_status":"close","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"","fifu_image_alt":"","footnotes":""},"categories":[],"tags":[],"class_list":["post-603915","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry"],"_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/603915","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=603915"}],"version-history":[{"count":0,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/603915\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/2315279"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=603915"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=603915"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=603915"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}