Senator Elizabeth Warren blasted crypto currencies like Bitcoin as having “created opportunities to scam investors, assist criminals, and worsen the climate crisis.”
Addressing a Senate hearing on Wednesday, Warren called on Congress and Biden Administration to tackle issues presented by the growing use of cryptocurrency. while saying a Federal Reserve-backed digital currency shows “great promise.”
“The government must act to address a host of problems,” she said. “The threats posted by crypto show that Congress and federal regulators can’t continue to hide out, hoping that crypto will go away. It won’t. It’s time to confront these issues head-on.”
“Cryptocurrency has created opportunities to scam investors, assist criminals, and worsen the climate crisis,” continued Warren.
Warren also blasted Bitcoin as non-environmentally friendly. “A single Bitcoin transaction uses more energy than a typical US household in a month. I think the estimate is 53 days, she said.
In a tweet on Wednesday she also said that “one of the easiest and least disruptive things we can do to fight the #ClimateCrisis is to crack down on environmentally wasteful cryptocurrencies.”
Bitcoin requires so much computing activity that it eats up more energy than entire countries. One of the easiest and least disruptive things we can do to fight the #ClimateCrisis is to crack down on environmentally wasteful cryptocurrencies. pic.twitter.com/derGr1bjuq
— Elizabeth Warren (@SenWarren) June 9, 2021
Warren supported Federal Reserve’s consideration of a “digital dollar,” that could boost poorer Americans and streamline the payments system if properly designed.
“We’ve talked a lot today about the dangers that cryptocurrencies pose to our economy. We’ve talked about the rip-offs, the instability, the extent to which they’re used to help criminals with cyber-attacks like the attack on Colonial Pipeline and JBS. But there’s another piece to the adverse environmental impact of the computing activity used to mint many of these digital currencies in the first place. Bitcoin consumes more energy than entire countries and it is projected to consume as much energy as all the data centers in the whole world this year. One Bitcoin transaction, a single purchase, sale or transfer, uses the same amount of electricity as the typical U.S. household users in more than a month.”