Democratic Representative Brad Sherman told the Los Angeles Times that cryptocurrencies will not be banned “soon” in the U.S. The chairman of the House Financial Services Subcommittee on Investor Protection claims that the U.S government did not ban crypto because it was considered unimportant while it was still immature.
The California politician is concerned about criminals abusing cryptocurrencies. As reported by U.Today, he has repeatedly stated that cryptocurrency facilitates terrorism and other nefarious activities.
In July, Sherman angered supporters of the XRP cryptocurrency after stating that the controversial token is an unregistered security.
Tornado Cash ban
While the U.S. government isn’t close to enacting a comprehensive ban on cryptocurrencies, it gave crypto lobbyists goosebumps by banning the controversial Tornado Cash protocol last month.
The ban shows that despite strong lobbying efforts by the U.S government, it can still catch up on crypto. However, there is some resistance in Congress. Crypto-friendly Republican Tom Emmer began requesting a clarification from the Treasury Department about the Tornado Cash sanctions, which could have far-reaching implications for the crypto industry.
The Fed rules out a crypto ban
Last October, Federal Reserve Chairman Jerome Powell said it was okay to regulate cryptocurrencies, but rejected a full-fledged ban.
However, Powell described cryptocurrencies as a “speculation tool” this March.