US Senator Elizabeth Warren sees several issues with bitcoin and other cryptocurrencies. She said that “we need an honest strong regulatory authority which will still update,” claiming that cryptocurrencies invite “investors to return in without the standard protections of the transparency and disclosures and auditing.”
Elizabeth Warren Bashes Bitcoin and Other Cryptocurrencies
Elizabeth Warren, the U.S. senator from Massachusetts, was asked about cryptocurrency, bitcoin, and the way they ought to be regulated in an interview with Influencers’ Andy Serwer on Yahoo Finance Thursday.
Recalling that Warren previously said that bitcoin was speculative and might end badly, Serwer asked how cryptocurrencies should be regulated and whether or not they should be regulated in the least .
“It’s an honest question,” Senator Warren replied. “I put this one again, with the SEC [U.S. Securities and Exchange Commission], a reminder why we'd like an honest strong regulatory authority which will still update. You know, the last time we wrote … how money operates needless to say was long before anything like cryptocurrency had come along.”
She elaborated:
It’s not just bitcoin. It’s one after another after another inviting investors to return in without the standard protections of the transparency and disclosures and auditing that you simply get when a daily company is out there offering its stock for trade the market.
The senator then turned her attention to the environmental issues often related to bitcoin. She opined:
I also think with bitcoin, and therefore the other cryptocurrencies, i feel there’s a true issue about the environmental impact also .
“This whole notion of what proportion energy is consumed just to stay the currency tracking going, you know, you don’t consume that sort of energy so as to possess money on deposit at a bank or a open-end fund ,” she added.
Warren concluded: “In that sense, Bitcoin is extremely different. And within the 21st century, we’re becoming tons more sensitive to the worldwide impacts of the alternatives we make.”
On bitcoin wasting such a lot energy, variety of individuals have begin with research debunking the claim. Ark Invest, for instance , wrote in its report debunking several claims about bitcoin that “Bitcoin’s energy consumption is more efficient than that of gold and traditional banks,” emphasizing, “Contrary to consensus thinking, we believe the environmental impact of bitcoin mining is di minimis.”
The firm detailed: “Traditional banking consumes 2.34 billion gigajoules (GJ) per annum and gold mining 500 million GJ, while Bitcoin consumes 184 million GJ, but 10% and 40% of traditional banking and gold mining, respectively. Additionally, Bitcoin mining’s estimated dollar cost per GJ expended is 40 times more efficient than that of traditional banking and 10 times more efficient than that of gold mining.”
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