- Brad Sherman insists on making stringent laws and regulations on crypto.
- “I don’t think we’re going to get [to a ban] anytime soon,” says Sherman about crypto.
- Sherman highlights the dark side of crypto, even though crypto leaders do not agree with his view point.
US Congressman Brad Sherman, who chairs a House subcommittee on investor protection, insisted on making more stringent rules and regulations and, if possible, a ban on cryptocurrencies. Nonetheless, with the power and money that cryptocurrencies are backed by, the Northridge-area Democrat admits to his inability to carry out a ban.
Speaking to the LA times, Sherman said:
“I don’t think we’re going to get [to a ban] anytime soon. Money for lobbying and money for campaign contributions works, or people wouldn’t do it, and that’s why we haven’t banned crypto.”
Reportedly, Sherman is not different from other crypto critics. He appears to be worried about the individual investors getting defrauded. The crypto ecosystem appears to him as a systematic threat that helps criminals and scammers while decapitating the US dollar of its dominance.
And with the incident of crypto mixers like Tornado Cash (TC) being sanctioned by the Treasury Department for money laundering, the general public seems to share his fears. Crypto mixers shuffle the payments with other accounts and make it hard to trace the sender.
On the other hand, Vitalik Buterin, co-founder of Ethereum, admitted to using the same platform to anonymously help the Ukrainian government. He even praised the platform for the anonymity it provided from the Russian government.
I’ll out myself as someone who has used TC to donate to this exact cause.
— vitalik.eth (@VitalikButerin) August 9, 2022
In the absence of a ban, Sherman believes that cryptocurrencies should be regulated by the Securities and Exchange Commission (SEC), the body that oversees bonds, stock, etc.
But with Senators Debbie Stabenow and John Boozeman introducing the bill that would define crypto as a commodity rather than security bringing it under the Commodity Futures Trading Commission, Sherman may be on losing grounds. The Commodity Futures Trading Commission oversees the trading of corn, oil, and meats.