US Senator Elizabeth Warren Says Crypto Will Ruin the Economy – Community Responds

Elizabeth Warren's op-ed on the WSJ, which correlated the fall of crypto exchange FTX to the ruin of the economy whole by crypto, has not gone unnoticed by the online crypto community.

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The fall of former crypto exchange FTX has shaken the entire industry since the situation began to deteriorate a few days before it declared bankruptcy on November 11. A new op-ed by US Senator Elizabeth Warren has revealed a negative stance towards the industry regarding the fallout.

Warren wrote that the crypto industry is on a “well-trodden path of financial innovation,” which begins with exciting rewards but ends in “crippling losses.” She compared it to 2008 subprime mortgages, penny stocks and credit-default swaps.

The senator said what happened with FTX should be a "wake up call" for regulators to enforce industry laws.

On Twitter, some agreed with the senator, tweeting that the crypto industry is just "smoke and mirrors" and that Warren has always tried to warn the public. Although many have pointed the finger at her, saying regulators don't understand the industry and are instilling fear with such comments.

One user pointed to common ground saying that there is room for regulation when it comes to centralized exchanges, which are very different from the technology of crypto and decentralized exchanges.

Centralized exchanges for crypto are a far cry from crypto technology. Know the difference and only regulate centralized exchanges. The risk is centralized exchanges, not crypto or decentralized exchanges/finances. Crypto did not fail. SBF failed. SEC failed.

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