{"id":518905,"date":"2022-12-01T00:15:00","date_gmt":"2022-11-30T21:15:00","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/sen-warren-biden-administration-worked-to-stop-crypto-being-dangerously-intertwined-with-banks\/"},"modified":"2022-12-01T00:15:00","modified_gmt":"2022-11-30T21:15:00","slug":"sen-warren-biden-administration-worked-to-stop-crypto-being-dangerously-intertwined-with-banks","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/sen-warren-biden-administration-worked-to-stop-crypto-being-dangerously-intertwined-with-banks\/","title":{"rendered":"# Sen. Warren: Biden administration worked to stop crypto being &#8216;dangerously intertwined&#8217; with banks"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_85 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6a36ec3235fe6\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #dd3333;color:#dd3333\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #dd3333;color:#dd3333\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6a36ec3235fe6\" checked aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-1'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/buradabiliyorum.com\/en\/sen-warren-biden-administration-worked-to-stop-crypto-being-dangerously-intertwined-with-banks\/#%E2%80%9D_Sen_Warren_Biden_administration_worked_to_stop_crypto_being_%E2%80%98dangerously_intertwined_with_banks_%E2%80%9C\" >&#8221; Sen. Warren: Biden administration worked to stop crypto being &#8216;dangerously intertwined&#8217; with banks &#8220;<\/a><\/li><\/ul><\/nav><\/div>\n<h1><span class=\"ez-toc-section\" id=\"%E2%80%9D_Sen_Warren_Biden_administration_worked_to_stop_crypto_being_%E2%80%98dangerously_intertwined_with_banks_%E2%80%9C\"><\/span>&#8221; Sen. Warren: Biden administration worked to stop crypto being &#8216;dangerously intertwined&#8217; with banks &#8220;<span class=\"ez-toc-section-end\"><\/span><\/h1>\n<div class=\"post-content\" data-v-b8b12140>Referring to the events surrounding the collapse of FTX as \u201ca handful of magic beans\u201d, Massachusetts Senator Elizabeth Warren seemed to frame the \u201ccontagion\u201d spreading through the crypto space as a partisan issue.<\/p>\n<p>Speaking at a Senate Banking Committee nomination hearing on Nov. 30, Warren <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.banking.senate.gov\/hearings\/11\/23\/2022\/nomination-hearing\">addressed<\/a> committee counsel Jonathan McKernan, who confirmed that FTX\u2019s bankruptcy had largely not affected traditional banking institutions in the United States. The Massachusetts senator, an outspoken skeptic of cryptocurrencies, used some of her time to <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/download-scripts-themes-apps\/\" data-internallinksmanager029f6b8e52c=\"9\" title=\"Download Scripts &amp; Themes &amp; Apps\" target=\"_blank\" rel=\"noopener\">app<\/a>laud the work of Federal Deposit Insurance Corporation, or FDIC, acting chair Martin Gruenberg, who attended as part of his nomination to assume the position as part of a five-year term.<\/p>\n<p>\u201cOur banks stayed safe even as crypto imploded because many of President Biden&#8217;s regulators, like acting chairman Gruenberg, fought to keep crypto from becoming dangerously intertwined with our banks,\u201d said Warren. \u201cHe did this despite the Trump administration&#8217;s and crypto boosters\u2019 aggressive efforts to bring crypto and all its risks into traditional banking.\u201d<\/p>\n<p>Gruenberg responded in the affirmative to one of Warren\u2019s questions in which she claimed the banking system would have been \u201cless safe\u201d had firms like FTX received similar insurance from the FDIC:<\/p>\n<blockquote><p>\u201cThe evidence is clear now. We had companies that were engaging in highly speculative activity, highly leveraged, and vulnerable to a loss of confidence in a run. They did not have direct exposures to the insured financial institutions, and as a result the failure of those firms was really limited to the crypto space, and ended up not impacting the insured banking system.\u201d<\/p><\/blockquote>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2022-11\/9e9c7c7e-905d-41e4-9fc2-7b7f423e5c1a.png\"><figcaption style=\"text-align: center;\"><em>Senator Elizabeth Warren speaking at a\u00a0Senate Banking Committee hearing on Nov. 30<\/em><\/figcaption><\/figure>\n<p>Warren went on to refer to crypto assets as \u201ctoxic\u201d and unsuitable to integrate in traditional banking, claiming taxpayers could suffer the consequences. The senator was one of the lawmakers behind a Nov. 23 letter calling on the Justice Department to investigate the collapse of FTX and potentially prosecute individuals involved in wrongdoing, specifically naming former CEO Sam Bankman-Fried for his role in the controversy.<\/p>\n<p><strong><em>Related: <\/em><\/strong><strong><em>How stable are stablecoins in the FTX crypto market contagion?<\/em><\/strong><\/p>\n<p>The ripple effects of a major exchange like FTX declaring bankruptcy amid a bear market are ongoing. Crypto firm BlockFi filed for Chapter 11 bankruptcy on Nov. 28, saying FTX owed certain financial obligations to the company. Global lawmakers and regulators have also announced intentions to investigate the events surrounding FTX and potentially create new regulatory frameworks, including those from the European Central Bank, U.S. state governments, and securities regulators in the Bahamas.<\/p>\n<p><template data-name=\"subscription_form\" data-type=\"law_decoded\"><\/template><\/div>\n<blockquote><p><strong><span style=\"color: #ff6600;\">If you liked the article, do not forget to share it with your friends. Follow us on\u00a0<span style=\"color: #ff0000;\"><a style=\"color: #ff0000;\" href=\"https:\/\/news.google.com\/publications\/CAAqBwgKMLG0nwswvr63Aw\" target=\"_blank\" rel=\"nofollow noopener noreferrer\">Google News<\/a><\/span>\u00a0too, click on the star and choose us from your favorites.<\/span><\/strong><\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\">For forums sites go to <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/forum.buradabiliyorum.com\/\" target=\"_blank\" rel=\"noopener\">Forum.BuradaBiliyorum.Com<\/a><\/span><\/strong>\n<\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\"><strong>If you want to read more <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/news\/\" data-internallinksmanager029f6b8e52c=\"2\" title=\"News\" target=\"_blank\" rel=\"noopener\">News<\/a> articles, you can visit our <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/en.buradabiliyorum.com\/general\/\" target=\"_blank\" rel=\"noopener\">General category.<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<p><span style=\"color: black;\"><a style=\"color: #ff9900;\" href=\"https:\/\/cointelegraph.com\/news\/sen-warren-biden-administration-worked-to-stop-crypto-being-dangerously-intertwined-with-banks\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>&#8221; Sen. Warren: Biden administration worked to stop crypto being &#8216;dangerously intertwined&#8217; with banks &#8220; Referring to the events surrounding the collapse of FTX as \u201ca handful of magic beans\u201d, Massachusetts Senator Elizabeth Warren seemed to frame the \u201ccontagion\u201d spreading through the crypto space as a partisan issue. Speaking at a Senate Banking Committee nomination&#8230;<\/p>\n","protected":false},"author":1,"featured_media":518906,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/images.cointelegraph.com\/images\/1200_aHR0cHM6Ly9zMy5jb2ludGVsZWdyYXBoLmNvbS91cGxvYWRzLzIwMjItMTEvYWVlYTU3YWMtYjc2My00ZGRjLThiYzUtOTk3MGIxMmM5NjQ4LmpwZw==.jpg","fifu_image_alt":"","footnotes":""},"categories":[1],"tags":[74863,135234,55229,70934,70289],"class_list":["post-518905","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-general","tag-cryptocurrencies","tag-ftx","tag-law","tag-regulation","tag-senate"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/518905","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/comments?post=518905"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/518905\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/518906"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=518905"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=518905"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=518905"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}