Trump has a new challenger who does not love Crypto

Massachusetts senator Elizabeth Warren, known for her critique of cryptocurrency, entered the US presidential race in 2020, announcing that Monday is forming an exploratory committee. The move is the first of a high-profile Democrat and allows her to start raising funds for the presidential campaign.

Warren gained importance within the crypto community for his critique of the virtual asset class. On many occasions in the past, he has expressed concerns for families and individuals who invest their savings in such a volatile market.

At last month's hearing at the Senate Banking Committee, Warren took two major blows to the cryptocurrency. He stated that virtual coins were "easy to steal", adding that many small investors are being scammed through initial coin offerings (ICO).

The senator said the cryptographic applications of the real world have been so far, even if you want to "cultivate productive aspects of the crypt" and see the blockchain bring financial services to useless and other benefits to consumers.

While Warren is expected behind the best potential Democratic candidates, especially against names like Bernie Sanders, Joe Biden and Michael Bloomberg, he has been a strong voice in the US Senate on financial matters. For example, she was the architect of the Office of Consumer Financial Protection established after the 2008 financial crisis.

As such, his attitude towards the crypto-industry could harm the business of some regulated companies, including large exchanges such as Coinbase and Gemini, as well as discount brokers such as Robinhood, which allows Americans to sell cryptocurrencies without commissions. Specifically, Warren told the Fed president he was worried about hundreds of millions of ordinary consumers who signed up to buy bitcoins.

As a possible president or a former leading candidate, he can propose legislation to revise the way in which companies connected to cryptography operate. For example, Warren already wants the Federal Reserve to exert stricter restrictions on encrypted startups by requiring them to obtain government cards to operate and consider the interests of their audiences rather than just those of their shareholders.

"It's American families who end up paying the price when some authority says we're more interested in Wall Street, what I think is that we need a Fed that is busy looking at where the risk accumulates in the system. of the Fed – this is not the work of American families, "said Warren.

Influence encrypted in the political sphere of the United States

Although cryptocurrencies have been touted as intrinsically neutral, it is clear that its influence is increasing above all in the political sphere of the United States. An example are donations made in cryptocurrency. Even the threat of foreign funds reaching the coffers of political candidates, or being used to finance other operations of influence, are the main concerns in the debate on encryption in the United States.

A recent study by the Center for Public Integrity showed that confusion over cryptocurrency is widespread and the implications are far from being isolated. The study found that at least 20 senators and presidents of various political gangs have requested or received cryptocurrency to fund their campaigns, although US regulators have not decided how to regulate or track cryptographic contributions. On the other side of the coin, seven others have banned cryptocurrency contributions, fearing foreign interference.

In addition to Warren, many other less important figures shared their opinion on cryptocurrencies. One of these was Enter Andrew Yang, a technical-entrepreneur who became a presidential candidate, who threw his hat in the ring for the 2020 elections.

In September, Finance Magnates spoke with Yang about his election campaign and how cryptocurrency and blockchain technology can play an important role in his vision for the future of the American economy.