Democratic frontrunner for US President nomination takes aim at cryptocurrency

US Senators have hardly been giving cryptocurrencies a ringing endorsement…

Amongst those expected to seek the Democratic nomination to try and defeat Donald Trump at the 2020 US Presidential election is Senator Elizabeth Warren. She’s one of the highest profile Democrats, and is widely expected to throw her hat into the ring over the next year, ahead of the extensive programme of primaries that begin in early 2020.

As it turns out though, she doesn’t appear to be much of a fan of cryptocurrencies.

She has been commenting on crypto as part of a Senate Banking Committee hearing, a hearing at which several Senators had pessimistic things to say. Warren specifically noted her belief that initial coin offerings – ICOs – are seeing lots of smaller investors exposed to scams, and that cryptocurrency itself is too easy to steal. She’s not advocating anything as draconian as an outright ban, but noted “the challenge is how to nurture productive aspects of crypto with protecting consumers”. It was a hearing that presented more questions than answers.

Others at the hearing admitted worries over families opting to put their savings into cryptocurrencies and ICOs, and the inherent risks they saw with that. Senator Doug Jones chipped in too that in his experience, when it comes to law enforcement in technology, criminals tended to be several stages ahead of where enforcement officials were.

There were counter-arguments, with CoinCenter’s Peter Van Valkenburgh arguing for the kind of light legislative touch that allowed the world wide web to flourish in the 1990s. But few were siding with him on that.

The mood towards crypto in Washington appears to be cautious at best, and edging towards hostile at worst. Add in the fact that incumbent President Donald Trump appears to be no fan as well, and it may be testing times for digital currencies in the US…