Crypto’s Image Takes Beating in Washington, Dimming Fans’ Hopes

Discussion in 'Cryptocurrencies' started by themickey, Jun 10, 2021 at 5:39 PM.

  1. themickey


    Ben Bain and Robert Schmidt Thu, June 10, 2021
    Crypto’s Image Takes Beating in Washington, Dimming Fans’ Hopes

    Just a few months ago, crypto enthusiasts were hopeful that Washington was warming to digital assets. But cyberattacks demanding Bitcoin ransoms, wild trading and rebukes from regulators have eroded their optimism.

    The timing couldn’t be worse. Policy makers are poised to make a number of critical rulings on virtual tokens in the coming months -- decisions that may reveal how deep of a hole the industry has to climb out of. Potentially under consideration are whether to approve a Bitcoin exchange-traded fund, allow crypto mutual funds and grant banking licenses to financial firms.

    For advocates, the setbacks are fueling anxiety that some of their top priorities will be blocked by federal agencies, and that lawmakers will take take a tougher tack on oversight. Evidence is growing that Capitol Hill is moving in that direction. Senator Mark Warner, a Virginia Democrat, said last month that cryptocurrencies are “crying out for some level of regulation.” Senator Elizabeth Warren reiterated that view Wednesday.

    “Our regulators, and frankly our Congress, are an hour late and a dollar short,” the Massachusetts Democrat said in a Bloomberg TV interview. “We need to catch up with where these cryptocurrencies are going.”

    The rough patch started in May when Securities and Exchange Commission Chairman Gary Gensler urged lawmakers to pass a law regulating crypto exchanges, arguing that the lack of oversight posed a serious threat to U.S. investors. The comments shocked Bitcoin proponents who predicted Gensler would be an ally because, unlike most government officials, he’s well versed in virtual coins.

    Fuel Shortages
    Then came the Colonial Pipeline Co. hack, which triggered fuel shortages across the Eastern U.S. As in previous breaches, the culprits demanded ransom payments in Bitcoin -- shining a spotlight on cryptocurrencies’ national security implications. Long gas lines predictably attracted the attention of lawmakers and the scrutiny could make some on Wall Street nervous about further embracing assets that are routinely linked to illicit transactions.

    The Justice Department recovered most of the tokens that Colonial paid out by tracking transactions on the public ledger for Bitcoin, showing how the technology can aid law enforcement agencies. Still, Warren said a key feature of cryptocurrencies is that they allow people to secretly move money, making the coins a “haven for criminals.” A reminder of her point came Wednesday when JBS USA disclosed that it had paid $11 million to hackers who forced the world’s largest meat producer to shut down all its U.S. beef plants.

    Another issue: Bitcoin has lost more than a third of its value since early May. A series of negative tweets from Elon Musk has contributed to the plunge, underscoring to crypto critics that token prices are too volatile and easily influenced by social media to be safe for unsophisticated investors. The frenzy tied to nonfungible tokens and dogecoin -- a cryptocurrency created as a joke -- has amplified those concerns.

    “We can’t deny the potential impact that a negative media narrative might have on the regulatory and legislative conversations in D.C. in the short term,” said Kristin Smith, executive director of the Blockchain Association trade group.
    virtusa, murray t turtle and Nobert like this.
  2. So they need to protect “unsophisticated investors” from crypto but it’s ok to allow millions of apes to YOLO their accounts into a video game retailer that nobody uses and a movie theater that nobody goes to.

    Got it. Thanks Warren. Stupid twat
    vanzandt, Baron and johnarb like this.
  3. Baron

    Baron ET Founder

    Welcome to Yawnville. Who's going to ask, or even pay attention to... their 71-year-old grandma for guidance on cryptos? I'm telling you right now if you asked her three random technical questions about cryptos, I don't think she couldn't answer a single one correctly.
    Last edited: Jun 11, 2021 at 7:46 AM
    bone, johnarb and Clubber Lang like this.
  4. easymon1



    Thank god for Politicians.

    Where'd we be without them Saving us all the time.
    Last edited: Jun 10, 2021 at 8:17 PM
    johnarb and yogi_trader like this.
  5. Baron

    Baron ET Founder

    This is just the gun argument all over again. "People use guns to murder people, so let's get rid of all the guns."

    "People use crypto to demand ransoms, so let's get rid of all the crypto".

    Um, ok. Good luck with that argument.
    johnarb and yogi_trader like this.
  6. themickey


    Ya, well good luck to you guys with your pro gun argument, please keep your guns, it's handy birth control....
    Gun violence in the United States results in tens of thousands of deaths and injuries annually. In 2018, the most recent year for which data are available as of 2021, the Centers for Disease Control and Prevention's (CDC's) National Center for Health Statistics reports 38,390 deaths by firearm, of which 24,432 were by suicide and 13,958 were homicide, accidental, law enforcement, and undetermineds. The rate of firearm deaths per 100,000 people rose from 10.3 per 100,000 in 1999 to 12 per 100,000 in 2017, with 109 people dying per day, being 11.9 per 100,000 in 2018. In 2010, there were 19,392 firearm-related suicides, and 11,078 firearm-related homicides in the U.S. In 2010, 358 murders were reported involving a rifle while 6,009 were reported involving a handgun; another 1,939 were reported with an unspecified type of firearm.

    Gun-related suicides and homicides in the United States
    Gun-related homicide and suicide rates in high-income OECD countries, 2010, countries in graph ordered by total death rates (homicide plus suicide plus other gun-related deaths).
    Handguns are involved in most U.S. gun homicides.
    About 1.4 million people have died from firearms in the U.S. between 1968 and 2011. This number includes all deaths resulting from a firearm, including suicides, homicides, and accidents.

    Compared to 22 other high-income nations, the U.S. gun-related homicide rate is 25 times higher. Although it has half the population of the other 22 nations combined, among those 22 nations studied, the U.S. had 82 percent of gun deaths, 90 percent of all women killed with guns, 91 percent of children under 14 and 92 percent of young people between ages 15 and 24 killed with guns. The ownership and regulation of guns are among the most widely debated issues in the country.
    virtusa likes this.
  7. bone

    bone ET Sponsor

    Out of curiosity, how do the suicides "off" themselves in Australia? Because that's about 2/3'rds of US gun deaths right there. I mean, maybe a Glock is a bit more humane that holding a Taipan Snake up to your face.

    johnarb likes this.
  8. themickey


    Well yes there's that besides sharks, saltwater crocodiles, box jellyfish, bull ants, blue ringed octopus, redbacked spiders......Oh did I mention the cassowary.....?
    The cassowary is usually considered to be the world’s most dangerous bird, at least where humans are concerned, although ostriches and emus can also be dangerous.
    Cassowary (Queensland, Australia). Photo by Gilles Rolland-Monnett on
  9. virtusa


    Some crypto fans are getting nervous...

    Reality is that she can cause a lot of damage to crypto's. She doesn't need to know anything about crypto's for that.
    themickey likes this.