Senator Elizabeth Warren of the United States is concerned that “cryptocurrencies threaten to undermine Russian sanctions.” Financial authorities should “take this danger seriously and intensify their inspection of digital assets,” she says.
Senator Elizabeth Warren is concerned that Russia may be able to evade sanctions by using cryptocurrency:
Senator Elizabeth Warren of the United States is concerned that bitcoin might allow Russia to avoid sanctions imposed by nations throughout the world in response to its invasion of Ukraine. According to Senator Elizabeth Warren of Massachusetts, cryptocurrencies threaten to weaken sanctions against Russia, allowing Putin and his cronies to avoid economic punishment.
“Financial regulators in the United States need to take this issue seriously and tighten their oversight of digital assets,” she added.
The cryptocurrency community widely panned senator Warren’s remark. Some people accused her of being illiterate, while others accused her of lying. “So you’re saying a stateless, permissionless, decentralized, and censorship-resistant money is out of your control and must be stopped?” one user tweeted.
Senator Warren dislikes bitcoin and cryptocurrencies since she can’t regulate them, according to Texas Senator Ted Cruz.
Senator Warren’s tweet cites a New York Times piece headlined “Russia Could Use Cryptocurrency to Soften the Impact of US Sanctions.” Senator Warren referenced a New York Times piece in which Jerry Brito, executive director of the D.C.-based think group Coin Center, discovered certain flaws.
The report, for example, discusses “new Russian technologies” that might assist conceal the origin of bitcoin transactions. However, it does not clarify what the tools are or provide any references, according to Brito. “And to believe that ransomware can make up for lost revenue due to sanctions is to underestimate the severity of the embargo being enforced,” he continued, adding:
Is it possible to utilize crypto to get around sanctions? Yes, of course. Is it possible that it may be utilized in a way that undermines the current measures? I’m not sure how.
“Will legitimate crypto intermediaries follow through on their sanctions obligations?” If recent history is any indication, we’re better than a lot of banks,” the Coin Center chief said.
