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Senator Warren calls Bitcoin a 'scam', threatens more regulation; Alex Mashinsky says she's wrong

Kitco News

At a recent Senate Banking Committee hearing, Senator Elizabeth Warren (Dem., Massachusetts) said that "cryptocurrencies have created opportunities to scam investors, assist criminals, and worsen the climate crisis."

She further added that "the threats posed by crypto" cannot stay ignored by the government and suggested that more regulations be put in place.

Alex Mashinksy, CEO of Celsius Network, told Michelle Makori, editor-in-chief for Kitco News, that the government is focused on the wrong issues.

"You show me a bank, I will show you tens of thousands of customers who will tell you immediately 'I suffered with their credit card. I suffered with their loans. I suffered with their fees. My home was confiscated, I lost my job,' and so on. We have to really focus on where the problem is and I don't think the problem is with crypto. Obviously, you can see from this interview that we, the community, need to do a much better education of the different parties, including Senator Warren, on what is true and what is not true," he said.

Celsius Network is a company that lends money in cryptos. Like a bank, the company issues loans and collects deposits and earns money on the spread of the interest, but unlike a traditional financial institution, Celsius operates with cryptocurrencies exclusively.

For Alex's views on how the U.S. may fall behind in the tech race without proper adoption of cryptocurrencies, watch the video above. Follow Michelle Makori on Twitter at

Disclaimer: The views expressed in this article are those of the author and may not reflect those of Kitco Metals Inc. The author has made every effort to ensure accuracy of information provided; however, neither Kitco Metals Inc. nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in commodities, securities or other financial instruments. Kitco Metals Inc. and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.