Senator Cynthia Lummis Explains Why Bitcoin Will Stay Here

The most vocal supporter of Bitcoin (BTC) from the Senate asserted her trust in the respective asset as compared to the other cryptocurrencies. She moved on to express her opinion regarding the legislation that has been proposed by the state to deal with stablecoins.

BTC is to stay here

Cynthia Lummis (a U.S. Senator), while appearing in a new interview conducted by CNBC, stated that BTC is genuine and it would remain in the industry. The senator from Wyoming proclaimed Bitcoin to be the standard as per the nature thereof in comparison with the other cryptos that are not even capable of measuring equal to it. She added that BTC is a commodity, whereas the rest of the cryptos are counted as securities as determined by their issuance. She referenced the Bitcoin network’s decentralized nature being a prominent factor to favor it over the rest of the virtual assets.

She mentioned that the reason behind her thinking regarding BTC is credited to the fact that the asset is completely decentralized along with a few other virtual assets that are issued on behalf of some entity or the person, keeping a huge stock thereof which makes them more similar to be a security as compared to a commodity. She even stated that Bitcoin could be perceived as digital gold is a commodity. She pointed towards the requirement of robust legislation to govern the crypto ecosystem, ensuring its existence as well as innovation along with the certainty of investor protection. She disclosed to be making efforts to craft legislation necessary to encapsulate the entirety of the related radical issues.

The Senator has been among the most outspoken supporters of Bitcoin throughout the Senate, for notably providing opportunities for the exiled Chinese miners in Wyoming. It has been revealed by a new filing that between $50K to $100K worth in Bitcoin assets had been bought by her to multiply the virtual asset holdings thereof. Another revelation mentioned that her initial purchase of Bitcoin was made in 2013 when its trading rate was $320 per coin.

Views on the regulation of stablecoins

On being asked about the regulation of stablecoins, Lummis described the ruling that just those banks are permitted to participate that have been insured by FDIC could choke the industry’s innovation. She indicated that the institutions capable of backing the stablecoins thereof as well as the community banks should be permitted to prosper in the industry.

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