Members of the US government have made several conflicting statements about the benchmark cryptocurrency, Bitcoin. While some have strongly defended the cryptocurrency, others have spoken out against the asset.
For objectively valid reasons, crypto community watchers have hinted that the contradictory comments suggest there may be some friction due to the asset in the near future.
Although the arrival of a democratic government hinted that a potentially bullish environment would be created for Bitcoin, several members had mixed reactions. Essentially these views could influence future digital asset policies, and so far it is unclear whether more favorable policies will be stifled by opponents.
Senator Elizabeth Warren: Bitcoin is a speculative asset
Recent comments by Senator Elizabeth Warren have set the stage for assumptions that Bitcoin may not be welcomed as expected by even the most progressive member of the House.
The senator, recently considered one of the most progressive, moved the waters of the cryptospace when she echoed the same sentiments of Janet Yellen, secretary to the US Treasury.
When questioned on CNBC's Squawk Box about Janet Yellen's comments that Bitcoin was a speculative and unreliable asset, with a structure that could potentially freeze and leave investors at a loss, she replied that the Treasury secretary left no room for ambiguity, implying that Bitcoin could indeed lose its value in the next period.
While Bitcoin is not overseen by any U.S. regulators, there could be friction in the coming months if the core asset and altcoins like Ethereum don't live up to expectations.
The future is still potentially bright
Just as the skeptics did, but in a completely opposite way, Bitcoin advocates have also lent their voices in support of the asset. Biden SEC chairman Gary Gensler recently said that Bitcoin's innovative structure has redefined payments and forced the financial ecosystem to correct the new loopholes from which Investors should be protected, he noted that Bitcoin is a catalyst for change.
He asked the government to implement a regulatory framework for the asset, stating that: “It is important for the SEC to provide guidance and greater clarity. Sometimes it might be thumb-up clarity, but sometimes it might be thumb-down as well. However, clarity is needed in both senses ”.
Republican SEC commissioner Hester Peirce recently hinted that, unlike previous SEC Chairman Jay Clayton, Gensler could finally bring people much-needed clarity and education about the asset.
"Gensler would bring cryptocurrencies to the knowledge of the mass and I think it's useful for someone to regulate this space," he noted.
And what do you think of it? Regulation will surely come, no longer if, but when at this point. And how will it affect the crypto space?