While U.S. Representative Brad Sherman saw Sam Bankman-Fried as the poster child of the crypto ecosystem, Congressman Tom Emmer highlighted the crypto community’s contribution to uncovering the supposed FTX fraud. 3665 Total views 18 Total shares Listen to article 0:00 News Own this piece of crypto history
Collect this article as NFT The arrest of formerFTXCEO Sam Bankman-Friedby the Bahamian authorities served as a cue for anti-crypto proponents to reignite discussions around the dangers of cryptocurrencies. While some political leaders blame the crypto ecosystem for SBFs alleged fraud, others findno pointin blaming an entire industry for one mans action.
During House Financial Services Committee hearing on FTX, Congressman Brad Sherman did not see a difference between SBF and an industry that once boasted a $2 trillion market cap,stating:My fear is that we’ll view Sam Bankman-Fried as just one big snake in a crypto Garden of Eden. The fact is crypto is a garden of snakes.
He said that cryptocurrencies and nonfungible tokens (NFTs)are being purchased in simply hopes of selling them for a higher price. Rep. Brad Sherman during the FTX hearing in front of the U.S.House Committee on Financial Services. Source: YouTube
He also highlighted how entrepreneurs such as “Sam Bankman-Fried would tell you there’s a hell of a market for bankruptcy court evasion” and argued that crypto aids the tax evasion efforts of bad actors.
On the other hand, Congressman Tom Emmer distanced the FTX fallout from the institution of cryptocurrencies while speaking at the hearing. Instead, Emmer argued that the immutable nature of blockchain technology helped the crypto community uncover discrepancies in the FXT Token (FTT), which ultimately led to SBFs arrest.
Information stored over the public blockchain will further assist law enforcement in digging into the nuances of the possible crimes, according to Emmer, who adde:I encourage my colleagues to understand Sam Bankman-Frieds con for what it is a failure of centralization, a failure of business ethics and a crime. It is not a failure of technology.
While naysayers try to link SBFs actions with the idea of crypto and blockchain, the case for decentralization grows stronger. Public blockchain-based crypto ecosystems not only allow for traceability but can also help authorities with anti-money laundering initiatives.
Related: US senator: There’s ‘no reason why’ crypto should exist
Despite the decade-long federal resistance toward crypto, there’s still some support for crypto in the U.S. Senate. Pro-crypto Senator Cynthia Lummis believes in Bitcoins (BTC) position as a viable inclusion to 401(k) retirement plans, revealing her disregard for the prolonged, but temporary, bear market:I’m very comfortable with making sure that people can include Bitcoin in their retirement funds because it’s just different than other cryptocurrencies.
Lummis places her bet on Bitcoins scarcity, which according to a personal belief, will help increase the assets value over time. #Congress #Senate #Adoption #United States #Sam Bankman-Fried #FTX Token #FTX #Regulation Related News What is Solana (SOL) Pay, and how does it work? Crypto community baffled by SBF dictating terms over congressional hearing US House committee chair pushes back against SBFs excuse to potentially delay testimony Sam Bankman-Fried misses deadline to respond to testimony request, now what? SBF willing to testify at House hearing on the FTX collapse
