If the enemy of your enemy is indeed your friend then Sen. Elizabeth Warren (D-Mass.) is making some new pals on Wall Street, an industry where she has spent her political career making enemies.
This week the Senator once again took aim at cryptocurrencies, calling the digital monetary space a "new threat" because crypto is being used by drug traffickers, money launderers and terrorists to get around the financial controls that governments have placed on fiat currency.
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"What I'm talking about is the law enforcement aspect of this. It's not over at the regulatory agencies. What I'm talking about is the part of the system that makes sure that banks are not being used for terrorist financing, example," Warren told CNBC.
Her comments echo those made by JPMorgan Chase JPM CEO Jamie Dimon who also said this week that "the only true use case for it (crypto) is criminals, drug traffickers... money laundering, tax avoidance. If I was the government, I'd close it down."
Dimon and Warren have a long history of combatting each other every time the former makes his way to Capitol Hill to be questioned by the latter. But they both find themselves on the same side of this one regulatory issue.
"When Jamie Dimon and I are in exactly the same place it's because we have a serious problem in this country," Warren said.
She also noted that it wasn't just Dimon who agreed with her. Earlier this week when the CEO's of the biggest banks in the country answered questions from Congress, each was asked by Warren whether the rules that apply to the financial services industry should apply to crypto. Each CEO answered affirmatively.
But people on the pro-crypto side of the argument were quick to point out that the number one global currency for terrorist activity, money laundering, drug trafficking and other types of fraud is the U.S. dollar.
Elon Musk, a noted crypto enthusiast, even jumped into the fray, commenting on a post claiming that Warren — who, again, has committed her political career to regulating banks — "loves multi-millionaires (as she is filthy rich now)," and "hates the people."
Musk agreed, posting "True."
True
— Elon Musk (@elonmusk) December 8, 2023
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