Five more United States Senators have backed Senator Elizabeth Warren’s Digital Asset Anti-Money Laundering Act to curb crypto’s illicit finance risks.
The legislation aims to align the digital asset ecosystem with anti-money laundering and counter-financing of terrorism frameworks, mitigating potential loopholes.
Senators Join A List Of Existing Supporters
According to a recent statement, Senators Warnock, Butler, and Van Hollen, all part of the Senate Banking, Housing, and Urban Affairs Committee, joined the bill. Meanwhile, Senators John Hickenlooper and Ben Ray Luján joined as cosponsors.
This amplifies existing support from 14 other Senators.
However, Senator Warren stresses the Treasury Department’s call for new laws to combat crypto’s role in aiding terrorist groups. Furthermore, in aiding rogue nations, drug lords, ransomware gangs, and fraudsters.
Warren claims to welcome the added support, emphasizing the bill as a robust proposal to crackdown on crypto’s illicit use.
Meanwhile, Senator Van Hollen emphasizes the risks of crypto’s lack of legal safeguards. He advocates for transparency rules akin to traditional banks.
However, Senator Hickenlooper supports the reforms to protect transparent innovation, drawing parallels between crypto and traditional banking safeguards.
Read more: How Does Regulation Impact Crypto Marketing? A Complete Guide
Widespread Backing for the Bill Continues to Grow
On the other hand, Senator Luján highlights the vulnerabilities arising from crypto’s limited oversight, endorsing the bipartisan legislation as a means to establish strong standards.
The proposed legislation has gained endorsements from various entities, including the Bank Policy Institute, Massachusetts Bankers Association, and Transparency International U.S.
However, the statement reiterates warnings from the Treasury Department, Department of Justice, and national security experts underscore the urgency.
Read more: Crypto Regulation: What Are the Benefits and Drawbacks?
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Source: https://beincrypto.com/senator-warren-support-crypto-money-laundering/