XRP Lawyer John Deaton Slams Senator Elizabeth Warren For Anti-Stablecoin Letter

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In a fiery response, XRP lawyer John Deaton criticized Senator Elizabeth Warren on social media platform X for her letter to Treasury Secretary Janet Yellen raising concerns about stablecoins being used by terrorist groups and rogue nations.

XRP Advocate John Deaton Takes Firm Stand Against Warren

Deaton pointed out that Senator Warren’s efforts were misaligned with Massachusetts’ current challenges. “Instead of addressing Massachusetts’ pressing issues such as illegal immigration, budget deficits, income disparity, rampant inflation, opioid epidemic, and increasing taxes, Elizabeth Warren is focusing her energy on advocating for the banking industry,” Deaton stated in X.

Additionally, the supporter of XRP pointed out that the senator had overlooked important domestic concerns, specifically those related to Steward Hospitals. Deaton commented, “It’s unfortunate she gave this level of concern to foreign issues instead of addressing matters at home like those with Steward Hospitals.”

A lawyer representing XRP made comments in reaction to a social media post by Alexander Grieve, who is the Government Affairs Lead at Paradigm, an organization specializing in tech investments. On platform X, Grieve published images of a letter penned by Warren to the US Treasury Secretary Janet Yellen.

Grieve penned down that Senator Warren is increasingly vocal against stablecoins with yet another letter to Treasury Secretary Janet Yellen. In this correspondence, she urges Yellen to advocate for incorporating “nodes within the Decentralized Finance (DeFi) system” in any proposed anti-money laundering (AML) regulations concerning stablecoins.

Additionally, the legal representative for Ripple (XRP) has made clear positions in the ongoing Coinbase vs SEC lawsuit. During a talk with Fox Business’s Eleanor Terrett, Deaton revealed his intention to file an amicus brief in support of Coinbase by October. Moreover, he mentioned that this action would come before his Senate campaign commences.

Contents Of Senator Elizabeth Warren’s Letter

On April 16th, Senator Warren wrote a letter to Treasury Secretary Janet Yellen. In this letter, she urged immediate action to tackle the supposed risk that cryptocurrencies pose to national security. She highlighted her worries about the possibility of misuse of digital currencies, specifically stablecoins, by terrorist groups and rogue nations.

After Deputy Secretary Wally Adeyemo’s appearance before the Senate Committee on Banking, Housing, and Urban Affairs, a letter was written. In this hearing, Mr. Adeyemo emphasized the importance of expanding regulatory powers against money laundering (AML), particularly in relation to the use of cryptocurrencies for unlawful activities.

Further, Senator Warren’s missive shared Deputy Secretary Adeyemo’s apprehensions. Her letter underscored the need to take swift action against the misuse of cryptocurrencies’ anonymity and decentralized nature. Quoting from Treasury’s November 2023 communication to Congress, Senator Warren advocated for extending Anti-Money Laundering/Countering the Financing of Terrorism (AML/CFT) regulations to the entire digital asset sector. This covers payment facilitators such as miners and validators.

Sen. Warren pointed out that the anonymous nature of cryptocurrency transactions might unwittingly involve financial institutions in illegal financial dealings. She referred to the Federal Reserve’s rejection of a state-chartered crypto bank’s membership application due to such concerns.

Warren emphasized that countries posing a threat to international security, such as Iran, make use of cryptocurrencies for financing. She also brought attention to the potential risks of overlooking major players in the crypto sphere when it comes to regulatory oversight. According to her, there are estimates suggesting significant income generated by Iran through validating cryptocurrency transactions. Consequently, she urged for robust regulations to keep terrorist groups like Hamas from exploiting digital assets.

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2024-04-18 10:21