U.S. Senator Elizabeth Warren says that “too many crypto firms have been able to scam customers and leave ordinary investors holding the bag while insiders make off with their money.” She stressed the need for stronger rules, urging the Securities and Exchange Commission (SEC) and Congress to take action on crypto regulation.
U.S. Senator Says Crypto Needs Stronger Regulation
U.S. Senator Elizabeth Warren (D-MA) voiced her concerns about cryptocurrency investing in an interview with Yahoo Finance Live last week after several crypto firms filed for bankruptcy protection.
Calling on the U.S. Securities and Exchange Commission (SEC) to act, she emphasized:
Congress needs to act, but the SEC has a responsibility to use its authorities to put guardrails in place and crack down on crypto actors that break the rules.
“I’ve been ringing the alarm bell on crypto and the need for stronger rules to protect consumers and financial stability,” the senator added.
Last week, crypto lender Celsius Network filed for bankruptcy protection after freezing withdrawals. A week prior, another crypto lender, Voyager Digital, filed for bankruptcy protection. The company cited contagion in crypto markets and bankrupt crypto hedge fund Three Arrows Capital‘s loan default as the reasons.
Warren stressed:
Too many crypto firms have been able to scam customers and leave ordinary investors holding the bag while insiders make off with their money.
SEC Commissioner Hester Peirce…
