Tensions between the crypto world and U.S. lawmakers are rising again. David Sacks, a prominent figure in the crypto industry and advisor to the Trump administration, has publicly accused Senator Elizabeth Warren of hostility toward digital assets.
š¹ Sacks: Warren Hates the Crypto Community
David Sacks recently launched a sharp attack on Senator Elizabeth Warren. According to him, the Democratic politician "for some reason hates the crypto community" and is actively trying to push crypto innovation out of the U.S. Sacks warned that this would be a disastrous mistake for the American economy and its technological leadership.
He emphasized that cryptocurrencies represent the future of the global financial system and that the U.S. must play a leading role ā not surrender the initiative to other countries.
š¹ Warren: Conflicts of Interest and Crypto Profits?
Senator Warren has long been skeptical of cryptocurrencies and has repeatedly questioned the transparency of David Sacksās role in the Trump administration. In an official letter dated March 6, she urged him to prove that he was not personally profiting from policy decisions favoring specific crypto projects or weakening oversight.
She noted that Sacks had previously claimed to have sold his holdings in Bitcoin, Ethereum, and Solana before assuming his government role ā but demanded detailed documentation of these transactions, including timing and terms.
š¹ Controversial Investments: Bitwise and Multicoin Capital
Her critique extended to Sacksās investment firm, Craft Ventures, and its stake in Bitwise Investments. Sacks responded that the position was relatively minor ā valued at $74,000 ā and had been sold on January 22. He also confirmed selling his stake in the crypto-focused fund Multicoin Capital.
Still, Warren pressed for more information on how potential conflicts of interest were addressed, and whether safeguards were in place to prevent individuals close to the president from personally profiting from rising crypto values.
š¹ Ethics and Oversight Questions
Warren further asked whether Sacks had filed a financial disclosure with the Office of Government Ethics and what specific measures the White House had implemented to ensure that crypto policy advisors comply with federal conflict-of-interest rules.
She also harshly criticized the SEC for withdrawing lawsuits against major crypto firms including Coinbase, Robinhood, and Kraken. In her view, the claim that most memecoins are not securities could dangerously benefit speculators ā including Trump's official token.
š¹ Warren Sounds the Alarm: Crypto as a National Security Threat
During a Senate Armed Services Committee hearing, Warren warned that weak crypto regulation poses a national security risk. She argued that rogue nations are exploiting digital assets to bypass sanctions and launder money, generating millions of dollars annually through crypto intermediaries.
She cited intelligence reports indicating that over 50% of North Koreaās foreign currency income now comes from crypto-related activity.
āAny action Congress takes to legitimize and grow the crypto market must include strong safeguards, so we don't increase opportunities for Iran and other adversaries to profit.ā ā Elizabeth Warren
š¹ Trump's Stablecoin and Warrenās New Battlefront
Warren also attacked the proposed stablecoin legislation and accused Donald Trump of using it to advance his own financial interests. She pointed to his emerging project World Liberty Financial, which is launching the USD1 stablecoin on Ethereum and BNB Chain.
In Warrenās view, such initiatives only benefit wealthy insiders, while everyday American families are left exposed and unprotected.
š§ Summary
The clash between David Sacks and Elizabeth Warren highlights a growing divide between the tech sector and segments of the U.S. political establishment. While Sacks champions crypto as a driver of innovation, Warren warns of security threats and financial manipulation. The battle over crypto policy is no longer just about economics ā itās a political showdown that could shape the future of the entire industry in the United States.
What do you think? Should the U.S. support the crypto industry or crack down with strict regulations?
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