Senator Elizabeth Warren has publicly criticized the Securities and Exchange Commission (SEC) for its decision to approve the spot Bitcoin ETFs. She expressed her dissent on X (formerly Twitter), stating that the SEC was “wrong on the law” and “wrong on the policy” regarding the approval. In response to the SEC’s decision, she called for the enforcement of stringent anti-money laundering rules.
The SEC’s landmark decision to approve 11 new spot Bitcoin ETFs was met with delight by the applicants and the larger crypto industry. However, the specifics of Senator Warren’s complaints against the SEC’s decision remain unclear. She has called for strict anti-money laundering rules that would extend beyond exchange-traded funds.
Senator Warren’s Digital Asset Anti-Money Laundering Act, reintroduced in October, has gained the support of 19 senators, including two Republicans. The bill has been criticized by the crypto industry, with members stating it would stifle innovation in crypto and push crypto companies offshore. Several SEC members are sympathetic to Warren’s stance on crypto. SEC Chair Gary Gensler noted several instances of crypto abuse, such as money laundering, crime, and terrorism, in his approval statement and urged users to be cautious about the numerous risks around Bitcoin.
Warren’s criticism of the approval of spot Bitcoin ETFs was met with backlash on social media. Many users suggested that a ruling concerning Grayscale’s ETF application set the ball rolling and ultimately led to the SEC approving spot Bitcoin ETFs. However, the outcome of the Grayscale case did not require the SEC to approve any funds. SEC Chair Gary Gensler acknowledged that the Grayscale case was one of the factors that made the approval of a spot Bitcoin ETF the most sustainable path forward.
Meanwhile, several Republican lawmakers expressed rare praise for the SEC following the approval of the spot Bitcoin ETFs. House Financial Services Committee Chairman Patrick McHenry, R-N.C., and digital assets subcommittee head French Hill, R-Ark, issued a joint statement, stating, “While legislation to provide clarity and certainty for digital assets remains necessary, the steps taken today are a significant improvement over the SEC’s track record of regulation by enforcement. We are pleased that investors and our markets will finally be afforded greater access to this generational technology.”
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.
This News Article was automatically generated by Bob the Bot (AI)
| Information | Details |
|---|---|
| Geography | North America |
| Countries | 🇺🇸 |
| Sentiment | negative |
| Relevance Score | 1 |
| People | Patrick McHenry, Gary Gensler, Caroline A. Crenshaw, Elizabeth Warren, French Hill |
| Companies | Grayscale, House Financial Services Committee, Securities and Exchange Commission |
| Currencies | Bitcoin |
| Securities | None |
