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Elizabeth Warren: Provide a coordinated and comprehensive response to the dangers of digital currencies


Senate Democrat Elzabeth Warren wrote a letter to US Treasury Secretary Janet Yellen urging her to provide a comprehensive and coordinated response to threats to digital currencies, particularly ransomware.

to the Report CoinDesk, Warren, who is a staunch opponent of digital currencies, has called on the US government to take legal action to reduce the risks of digital currencies in financial systems.

In an open letter to Janet Yellen yesterday, Warren called on the Financial Stability Board to prepare a coordinated and comprehensive response to the dangers of digital currencies.

In his letter, Warren notes that concerns about the lack of adequate legislation to address the risks of digital currencies to investors and consumers are growing. He went on to point out that the demand for digital currencies is growing and that the market value of nearly $ 2 trillion could pose systematic risks to the US financial system.

This is not the first time Warren has written to US officials warning of digital currency concerns. Earlier this month, Warren wrote a letter to Gary Gensler, chairman of the US Securities and Exchange Commission, calling for transparency in digital currency legislation by the end of this month. He also criticized the speculative nature of digital currencies at a meeting to review his eligibility to chair the Senate Subcommittee on Fiscal Policy.

Warren writes in part of his letter:

Increased financial system exposure to digital currencies means that market-related losses may be in the financial environment. [سنتی] To be broadcast.

He cites the dangers of digital currency price fluctuations for banks, the unique threats of stable coins, the emergence of decentralized finance (DeFi), the secrecy of identities in the field, and the characteristics of digital currencies in empowering cybercriminals and hackers. Comprehensively described digital currencies in the financial system.

He also described the current approach of the US legislature to digital currencies as “expansive”.

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