US Senators Collaborate with Banking Lobby on Anti-Crypto Bill Amid Controversy

US Senators Collaborate with Banking Lobby on Anti-Crypto Bill Amid Controversy

Crypto News – The American Bankers Association (ABA), a major lobbying entity for the U.S. banking sector, has been solicited for assistance in shaping a significant anti-crypto bill, as recently disclosed by a U.S. Senator.

Key figures in the U.S. banking industry have been actively participating in aiding Senators Roger Marshall and Elizabeth Warren in the formulation of a contentious anti-crypto legislation. A revealing video from December 20th, previously shared on X (previously known as Twitter), captures Senator Marshall acknowledging the collaboration with the ABA in drafting the Digital Asset Anti-Money Laundering Act.

Who could be so brazen as to write legislation that would effectively ban #crypto?

Senator @RogerMarshallMD, the GOP frontman of the crypto ban bill, revealed the American Bankers Association wrote it. #StopCryptoBan pic.twitter.com/dHufIaXB7i

— Chamber of Digital Commerce (@DigitalChamber) December 19, 2023

Introduced initially in December 2022, the Digital Asset Anti-Money Laundering Act is designed to subject cryptocurrency technologies, including noncustodial wallets, validators, and mining pools, to stringent regulatory frameworks within the U.S. banking system.

Senator Marshall openly stated, “The first thing that we did is that we went to the American Bankers Association and said ‘help us craft this.’”

Furthermore, Marshall made reference to Senator Warren’s interaction with Jamie Dimon, CEO of JPMorgan, who reportedly concurred with the view that “crypto was primarily a tool for criminals.” This information was derived from footage at a parliamentary security intelligence forum earlier in the month.

In reaction to these developments, Brian Armstrong, CEO of Coinbase, voiced his disappointment over Warren and Marshall’s apparent alignment with banking interests. He suggested that adopting an anti-crypto stance could be politically detrimental as the 2024 election approaches.

Finance attorney Scott Johnsson advised voters dissatisfied with Senator Warren to target politically vulnerable seats that have supported her anti-crypto campaign over the past year.

The legislation saw an expansion in its support on December 11th, securing endorsement from five additional senators, including three from the Banking Committee. Additionally, the Bank Policy Institute (BPI), another influential banking advocacy group in the U.S., has thrown its weight behind the legislation.

Despite assertions by some anti-crypto commentators that digital assets are predominantly used for illicit activities, data from the blockchain analysis firm Chainalysis indicates that less than 0.2% of cryptocurrency transactions are related to illegal endeavors.

Critics of the anti-crypto stance also point out the often-overlooked prevalence of criminal activities within traditional banking sectors. JPMorgan, a leading Wall Street institution, has accumulated nearly $40 billion in fines for various infractions since 2000, as reported by Violation Tracker, highlighting a significant contrast in the narrative surrounding financial crimes.