U.S. Senator Elizabeth Warren has expressed her disapproval of the U.S. Securities and Exchange Commission (SEC) for approving spot bitcoin exchange-traded funds (ETFs). She strongly believes that the securities regulator is making a mistake both legally and in terms of policy when it comes to the decision on bitcoin ETFs.
Senator Warren's Criticism of SEC's Decision
Senator Elizabeth Warren, who has been a vocal skeptic of bitcoin and other cryptocurrencies, wasted no time in criticizing the SEC's recent approval of 11 spot bitcoin ETFs. Taking to social media platform X, she stated, "The SEC is wrong on the law and wrong on the policy with respect to the bitcoin ETF decision."
She further emphasized the need for crypto to adhere to basic anti-money laundering rules if it is going to be allowed to play a larger role in the financial system. In her view, it is essential for crypto to follow these rules as it becomes more deeply integrated into the financial sector.
Counterarguments and Community Responses
Warren's remarks received various responses from the community. Some notes pointed out that there are already robust laws in place to prevent crypto money laundering, with U.S. agencies such as FinCEN, SEC, and CFTC enforcing anti-money laundering compliance and sanctions adherence. Additionally, states like New York contribute to anti-money laundering efforts through the Bitlicense.
Another community note highlighted that the SEC's decision was influenced by new circumstances brought up by the judge in the Grayscale Investments, LLC v. SEC case. SEC Chair Gary Gensler has admitted to this influence.
Warren's Stance on Cryptocurrency
Elizabeth Warren has consistently been a vocal critic of cryptocurrency. In October of last year, she joined over 100 legislators in penning a bipartisan note to Biden administration officials, expressing concerns about Hamas evading U.S. sanctions and using crypto assets to secure millions.
As part of her efforts to address these concerns, Warren introduced the Digital Asset Anti-Money Laundering Act. The aim of this act is to close loopholes in existing laws and ensure that cryptocurrency companies comply with anti-money laundering and countering the financing of terrorism frameworks. However, critics argue that the act effectively amounts to a crypto ban.
The Chamber of Digital Commerce has gone so far as to set up a petition to stop Warren's proposal, highlighting the potential negative consequences of such a ban.
Contrasting Views on Spot Bitcoin ETFs
Interestingly, despite their shared skepticism towards crypto, Senator Warren and JPMorgan CEO Jamie Dimon find themselves on opposite sides of the spot bitcoin ETF debate. While Dimon has consistently claimed that bitcoin has no value and is primarily used for illicit activities, JPMorgan is serving as a lead authorized participant for Blackrock's spot bitcoin ETF.
It is clear that the approval of spot bitcoin ETFs has sparked a range of opinions, with Warren's criticism being just one perspective. What are your thoughts on Senator Elizabeth Warren's statements about the approval of spot bitcoin ETFs? Share your opinions in the comments section below.
Frequently Asked Questions
How much gold should you have in your portfolio?
The amount of capital that you require will determine how much money you can make. You can start small by investing $5k-10k. As your business grows, you might consider renting out office space or desks. So you don't have all the hassle of paying rent. You only pay one month.
It is also important to decide what kind of business you want to run. My website design company charges clients $1000-2000 per month depending on the order. You should also consider the expected income from each client when you do this type of thing.
As freelance work requires you to be paid freelancers, your monthly salary won't be as high as mine. This means that you may only be paid once every six months.
Before you can determine how much gold you'll need, you must decide what type of income you want.
I suggest starting with $1k-2k gold and building from there.
Is gold a good investment IRA option?
Anyone who is looking to save money can make gold an excellent investment. It can be used to diversify your portfolio. There's more to gold that meets the eye.
It has been used throughout history as currency and it is still a very popular method of payment. It's often referred to as “the world's oldest currency.”
But gold, unlike paper currency, which is created by governments, is mined out from the ground. It's hard to find and very rare, making it extremely valuable.
The price of gold fluctuates based on supply and demand. The economy that is strong tends to be more affluent, which means there are less gold miners. Gold's value rises as a result.
On the other hand, people will save cash when the economy slows and not spend it. This means that more gold is produced, which reduces its value.
This is why investing in gold makes sense for individuals and businesses. You will benefit from economic growth if you invest in gold.
In addition to earning interest on your investments, this will allow you to grow your wealth. In addition, you won’t lose any money if gold falls in value.
What precious metal is best for investing?
The answer to this question depends on how much risk you are willing to take and what type of return you want. Although gold has traditionally been considered a safe investment choice, it may not be the most profitable. You might not want to invest in gold if you're looking for quick returns. Silver is a better investment if you have patience and the time to do it.
If you don’t want to be rich fast, gold might be the right choice. However, silver might be a better option if you're looking for an investment that provides steady returns over long periods.
Is buying gold a good retirement plan?
Although gold investment may not seem appealing at first glance due to the high average global gold consumption, it's worth considering.
Physical bullion bars are the most popular way to invest in gold. However, there are many other ways to invest in gold. You should research all options thoroughly before making a decision on which option you prefer.
If you're not looking to secure your wealth, it may be worth considering purchasing shares in mining equipment or companies that extract gold. Owning gold stocks should work well if you need cash flow from your investment.
You also can put your money into exchange-traded funds (ETFs), which essentially give you exposure to the price of gold by holding gold-related securities instead of actual gold. These ETFs may include stocks that are owned by gold miners or precious metals refining companies as well as commodity trading firms.
Statistics
- Contribution limits$6,000 (49 and under) $7,000 (50 and up)$6,000 (49 and under) $7,000 (50 and up)$58,000 or 25% of your annual compensation (whichever is smaller) (lendedu.com)
- Instead, the economy improved, stocks rebounded, and gold plunged, losing 28 percent of its value in 2013. (aarp.org)
- This is a 15% margin that has shown no stable direction of growth but fluctuates seemingly at random. (smartasset.com)
- The price of gold jumped 131 percent from late 2007 to September 2011, when it hit a high of $1,921 an ounce, according to the World Gold Council. (aarp.org)
- Indeed, several financial advisers interviewed for this article suggest you invest 5 to 15 percent of your portfolio in gold, just in case. (aarp.org)
