The (SEC) and the (CFTC) may think about outlawing cryptocurrency, according to Sherrod Brown, chairman of the US Banking Committee.
On December 18, Brown claimed during a segment of Meet the Press. He added, however, that it would be difficult to enforce a prohibition.
We want them to do what they need to do at the same time, maybe banning it, although banning it is very difficult because it would go offshore, and who knows how that would work.
According to Brown, Senator Jon Tester and himself had the same idea. Earlier, we mentioned Senator Tester’s opinion that Cryptocurrency should be forbidden.
The Ohio representative has been warning his peers and the general public about the dangers of Cryptocurrency for the last 18 months. All of this is done while calling for an immediate decision.
Crypto Is Hazardous
Brown mentioned the startling demise of FTX as an example of why a ban may be beneficial, and he did add that it is only one significant component of the issue.
Because of their exacerbated difficulties, he says that Cryptocurrency is dangerous and threatens national security. They include cybercrime committed by North Korea, trafficking of illegal substances and people, and funding for terrorism.
Brown claimed that the issue went beyond FTX and described the crypto industry as a complicated, unregulated money machine.
Shaking hands at Bitcoin [BTC] and its rivals or prohibiting the emerging asset class won’t solve anything, though. The primary cause of FTX breaking into two companies was the lack of regulatory oversight in the US.
Furthermore, Trading on an unregulated market was required, and it ultimately failed, forcing traders and investors to do so. The main goal should be providing a practical framework that protects crypto investors, not upholding the prohibition as these lawmakers and bankers want.
Senator Warren and Representative Brown view cryptocurrency as a threat to national security. Additionally, he thought the entire sector was a hoax that preyed on unsuspecting customers.
The Occurrence Is Not New?
For more than a year, the chairman of the Banking Committee has viewed cryptocurrencies skeptically. Most lately, bringing up problems with the issuance of stablecoins and cryptocurrency marketing and advertising operations.
In addition, On November 30, Brown issued a statement urging an all-government approach to managing the company. The former CEO of FTX, currently held in the Bahamas for extradition, was charged on December 13, and he applauded the US Department of Justice for that action.
I applaud the@TheJusticeDept and the Bahamian authorities for holding Sam Bankman-Fried accountable. The @SenateBanking and Housing Committee will continue working to uncover crypto’s risks to consumers, our financial system, and our national security.”
Not all of Senator Brown’s colleague’s support of him is significant. On November 23, Senator Tom Emmer acknowledged that the demise of FTX wasn’t a crypto failure but rather a failure brought on by centralized actors.
Emmer thought that the United States industries would be less innovative if rules were too rigid. I was pushing it to relinquish its status as the world’s primary market, which many feels is already occurring.
Related Reading | Donald Trump Announces The Release Of His NFT Collection
Since they were idle over the weekend, cryptocurrency markets are still settling. With the start of the Asian trading session on December 19, the overall value fell below $840 billion. As a result, despite the markets moving toward their cycle low again, there hasn’t been another frantic sell-off.