Bitcoin An ‘Important Part’ Of Our Economy, US Senator Says

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The potential of the cryptocurrency industry to boost the US economy has been recently noted by US Senator Cynthia Lummis, who also emphasized the significance of seizing and utilizing these new opportunities.

Senator Lummis’ Crypto Advocacy

In collaboration with Senator Kirsten Gillibrand and other colleagues, Lummis has played a key role in forming a financial innovation caucus and developing a regulatory framework for the rapidly expanding crypto sector.

Lummis has been a proponent of cryptocurrencies for a long time and has often informed Congress on the importance of digital currencies.

She highlighted Bitcoin’s utility both as an investment and a payment method, noting its increasing acceptance, particularly in the face of global inflation concerns.

Reflecting on her time in the Senate, Lummis remarked on the progress made in understanding digital assets since she arrived. Initially, many Senate members lacked a clear understanding of digital assets, and Lummis has worked diligently to educate them about the distinctions between Bitcoin and other cryptocurrencies.

BREAKING: Senator Cynthia Lummis says #Bitcoin is “going to be an important part of our economy going forward, unless we blow it!” pic.twitter.com/oBovspuwky

— Bitcoin Archive (@BTC_Archive) May 29, 2024

Bitcoin Amid Political Shifts

There are positive indicators that the economy may integrate digital assets more deeply as the US presidential elections loom. But the story around cryptocurrencies is still developing, and not everyone in the community shares this upbeat view.

Samson Mow, a prominent advocate for Bitcoin, has expressed concerns regarding potential government intervention in the industry. Mow warns that political interference could harm Bitcoin if it strays from its core values, despite efforts to seek legal clarity.

Without unwavering adherence to these ideals, he contends, political involvement could give rise to problems resembling the crashes of FTX and other large exchanges, which would result in substantial money losses.

I’m not bullish on politicians becoming pro “crypto.” It may feel nice given the prior hostile anti-crypto stances, but long term it’s bad for #Bitcoin. Without a strong Bitcoin ethos, this shift only paves the way for the next FTX/Luna/Genesis, & once again, we will pay for it. https://t.co/bXd9ymjkZY

— Samson Mow (@Excellion) May 25, 2024

Mow clarified that his remarks weren’t aimed at disparaging influential pro-crypto figures such as Lummis, whom he commended for her outstanding work encouraging the widespread use of cryptocurrencies inside stringent legal systems.

Advancements In US Crypto Regulations

Meanwhile, with the SEC’s approval of Bitcoin and Ethereum spot ETFs and the advancement of other pro-crypto laws, the US digital currency ecosystem has advanced significantly, demonstrating better regulatory conditions and support from both parties.

The Financial Innovation and Technology for the 21st Century Act (FIT21) was enacted by the House of Representatives with backing from each side. The financial institutions’ capacity to serve as cryptocurrency custodians has been made easier by the Senate’s vote to reverse SEC chairman Gary Gensler’s Staff Accounting Bulletin No. 121 (SAB 121).

Featured image from Shutterstock, chart from TradingView

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