She stresses that the crypto industry must adhere to fundamental AML regulations.
The senator has been pushing her Digital Asset Anti-Money Laundering Act.
A member of the Senate Banking Committee and a Democrat from Massachusetts, Elizabeth Warren has publicly blasted the SEC for its recent approval of eleven spot bitcoin ETFs.
It is critical that the cryptocurrency industry immediately adopt anti-money laundering legislation; Warren, who is well-known for her cautious attitude toward cryptocurrencies, voiced her worries in a Thursday post emphasizing this requirement.
Stringent AML Regulations
Because the SEC isn’t giving enough thought to the policy and legal ramifications of further integrating bitcoin and other cryptocurrencies into the financial system, Elizabeth Warren is unhappy with the decision.
She stresses that the crypto industry must adhere to fundamental anti-money laundering regulations, particularly since it is becoming more integrated with conventional banking institutions.
The senator has been pushing her Digital Asset Anti-Money Laundering Act, which would make businesses like wallet providers, validators, and miners subject to the same regulations as banks, including know-your-customer policies. With the backing of nineteen other senators, this measure aims to regulate and supervise the digital asset market more strictly.
Despite Warren’s worries, some politicians have backed the SEC’s move, seeing it as a positive step towards improving Americans’ access to and administration of crypto assets. Republican senator from Wyoming Cynthia Lummis was effusive in her appreciation of the SEC’s decision to approve the spot bitcoin ETFs.
Several prominent figures in the crypto community have expressed their disagreement with U.S. Senator Elizabeth Warren’s remarks. Reactions to Warren’s twitter post showed that many well-known experts from across the world were critical of the senator’s remarks.