Unions reportedly want Michigan Senator Gary Peters, a vocal crypto critic, to serve as the vice presidential nominee on the Democratic Party ticket.
VP Kamala Harris, the presumptive Democratic nominee for president, has been mulling a range of options for her running mate, including Pennsylvania Governor Josh Shapiro and Arizona Senator Mark Kelly, the rumored frontrunners.
But Axios, citing “a senior Democratic source,” reports that labor leaders have talked with Harris’ campaign about also considering Peters, who has served in the Senate since 2015.
Peters has an “F” rating from the digital asset advocacy nonprofit Stand With Crypto, which was founded by Coinbase last year.
In 2021, Peters announced the launch of an investigation into the role of cryptocurrencies in ransomware attacks. He concluded the investigation the following year, arguing in a summary report that the federal government lacked sufficient data on ransomware attacks and how they use crypto.
“Cryptocurrencies – which allow criminals to quickly extort huge sums of money, can be anonymized, and do not have consistently enforced compliance with regulations, especially for foreign-based attackers – have further enabled cybercriminals to commit disruptive ransomware attacks that threaten our national and economic security.”
Peters also co-sponsored Senator Elizabeth Warren’s (D-Massachusetts) Digital Asset Anti-Money Laundering Act.
The bill, which Warren first introduced in 2022 and then again last July, aims to make the crypto industry comply with the same money laundering rules that apply to the traditional financial system. It would, among other things, extend Bank Secrecy Act (BSA) responsibilities, including Know-Your-Customer (KYC) requirements, to crypto wallet providers, miners, validators, and other network participants.
Perianne Boring, the founder and chief executive of the Chamber of Digital Commerce, argued that the bill would kill the crypto industry by imposing impractical compliance requirements.
“Just as tracking every dollar bill user would be untenable for an ink manufacturer, imposing similar demands on blockchain entities like digital asset miners and validators is equally unfeasible and detrimental to innovation.”
Surprisingly, however, Peters also supported the pro-crypto House Resolution 109, which would have reversed the Securities and Exchange Commission’s (SEC) Staff Accounting Bulletin (SAB) 121.
SAB 121 is a guidance bulletin that states certain companies should label digital assets as liabilities on their balance sheets, even if they are simply holding them for customers.
The House Resolution passed the House and Senate earlier this year but was vetoed by President Joe Biden in May.
The potential legislation went back to the House for another vote earlier this month, but it didn’t gain the two-thirds majority needed to overturn a presidential veto.
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