Saturday, September 17, 2022

Crytpo regulation should not be left to rich crypto exploiters


Congress is considering regulating cryptocurrencies and committees are competing to hold jurisdiction so they can raise funds from billionaires and crypto companies.

"The rise of money in politics, in addition to the devastation it wreaks on our democratic system, creates incentives for certain elected officials to vie for certain committee seats, which they can then translate into campaign contributions from industry and corporate executives. In the fight over derivatives regulation [in 1999-2000], members who belonged to the House and Senate Agriculture committees discovered that they could raise millions of campaign dollars, not only from the stakeholders interested in traditional Ag committee work (like food and drug conglomerates and bioscience companies), but also from the businesses and billionaires with a vested interest in derivatives deregulation. As such, banks and other financial institutions were able to leverage and maintain murky regulatory authority to disseminate highly risky derivative products like credit default swaps–the same instruments that helped trigger the Great Recession."

Charlie Cooper
H: 410-578-8291
M: 410-624-6095

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