After the collapse of cryptocurrency exchange FTX, both the White House as well as members of the U.S. Senate Banking Committee demanded proper cryptocurrency regulation. “Without proper oversight of cryptocurrencies, they risk harming everyday Americans, and this is something that clearly we monitor and we see as an important issue,” said White House press secretary Karine Jean-Pierre.
White House on Crypto Regulation
After the collapse of cryptocurrency exchange FTX the White House and several U.S. legislators have called for stricter regulation of crypto.
Karine Jean Pierre, White House Press Secretary, said Thursday at a briefing on the FTX crisis.
The administration has repeatedly maintained that cryptocurrencies could harm everyday Americans if they are not properly regulated. This is something we monitor and consider an important issue.
She added: “The most recent news further underscores these concerns and highlights why prudent regulation of cryptocurrencies is indeed needed. The White House, along with the relevant agencies, will again closely monitor the situation as it develops.”
Senate Banking and Housing Democrats Urge Regulators to ‘Look Into What Led to FTX’s Collapse’
The Senate Banking and Housing Democrats Twitter account tweeted Thursday:
The cryptocurrency market’s continued turmoil is why we must think carefully about how to regulate cryptocurrencies and their role in our economy. It is crucial that our financial watchdogs look into what led to FTX’s collapse so we can fully understand the misconduct and abuses that took place.

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“The recent collapse of FTX is a loud warning bell that cryptocurrencies can fail, and just like we saw with over-the-counter derivatives that led to a financial crisis, these failures can have a ripple effect on consumers and other parts of our financial system,” the senator said. “I will continue to work with them to hold bad actors in crypto markets accountable. I’m committed to finding the best path forward to protect consumers and the stability of the U.S. markets and banking system.”
Another member of the Senate Banking and Housing Committee, Senator Elizabeth Warren (D-MA), said Wednesday that crypto needs “more aggressive enforcement,” adding that she is going to “keep pushing” the Securities and Exchange Commission (SEC) to “enforce the law to protect consumers and financial stability.”
What do you think of the White House and U.S. legislators calling for crypto regulation? Please comment below.

Kevin Helms

Kevin is a student in Austrian Economics. He discovered Bitcoin in 2011 and has been an evangelist for it ever since. His interests include Bitcoin security and open-source systems. He is also interested in network effects and the intersection of economics and cryptography.

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