According to a recent report published by Politico, U.S. Senator Elizabeth Warren has started recruiting conservative Senate Republicans to support her crypto legislation, which would implement tougher anti-money laundering restrictions, including more requirements to verify customer identities.
Warren has positioned herself as a lead lawmaker on crypto oversight, attempting to gather support for a bill that would have significant implications for the industry.
While crypto advocates have tried to reject Warren's bill, criticism is being leveled at the industry following the collapse of FTX exchange and the mismanagement of former CEO Sam Bankman-Fried. Bank lobbyists are showing support for Warren's anti-crypto legislation, indicating a possible unity between progressives and conservatives, watchdog groups, and bankers to stifle the growth of crypto.Warren is focusing on national security concerns regarding potential crypto legislation, citing money laundering, ransomware cyberattacks, drug trafficking, and sanctions evasion as risks. Despite crypto lobbyists' criticism, Warren's clear position on the regulation of crypto could affect the progression of new legislation concerning digital currencies.
The Treasury Department’s Financial Crimes Enforcement Network has been policing illicit finance in crypto for years and Warren’s bill would extend these responsibilities to other entities, including digital asset wallet providers and crypto miners.
Her attempt to build support for a bill shows her increasing interest in crypto oversight and will be a factor that top lawmakers will have to contend with if they want to advance new legislation aimed at digital currencies.
Warren has been one of the staunchest cryptocurrency opponents on Capitol Hill. As reported by U.Today, she compared buying Bitcoin to buying air in early 2022.