But what did he smoke? – Be honest, reading the title of this article, you have probably asked yourself this same question. But, it is indeed true: a Democratic senator compared, in the greatest of relaxation, the markets of Bitcoin (BTC) with those of there dope. And worse, it even seems to regret that the Signature Bank has bet more on cryptocurrencies than on the marijuana trade.
Bitcoin and Cryptos: “One Thing Nobody Here Understands” (Yes, It Shows)
Not content with already seeing the financial regulators automatically and brutally closing the Signature Bank – in a very strong hint ofsend an “anti-crypto message” to banks – the senator Michael Bennet wanted to add a layer in the “cryptophobia” primary.
As reported in particular by The Block, the elected Democrat from Colorado recently spoke on the subject, during a hearing of the US Senate Finance Committee. He does not appreciate at all that the Signature Bank has committed the crime (in his eyes) of daring to 20% of its deposits in cryptocurrency-related companies.
“Last weekend, Signature Bank went bankrupt [ndlr : FAUX, les régulateurs l’ont saisi avant une insolvabilité de fait] and almost a fifth of its deposits came from cryptocurrency. Looks like they weren’t allowed to do anything with marijuana, but apparently they can bet 20% on crypto: a notoriously unstable thing, you know, a thing no one here even understands. (…) [La cryptomonnaie] isn’t even as stable as the marijuana industry. “.
Michael Bennet, Democratic Senator from Colorado
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Janet Yellen reminds that cryptos are legal, unlike drugs
Exceptional fact, Janet Yellencurrent US Treasury Secretary and former chairwoman of the Federal Reserve (Fed), has sort of – almost – defended cryptocurrencies! A defense that must have cost him, because she doesn’t particularly carry Bitcoin in her heart. But faced with inconsistency words of Senator Bennet (and, in his own words, to his total misunderstanding cryptos) the Secretary of the Treasury had to answer him this:
“As you pointed out, in the case of marijuana, [son commerce] is against federal law, and therefore [cette illégalité] is a barrier to proper banking services for this industry. (..)”
Although 37 of 50 states of the United States have decided to legalize marijuana, the “possession, distribution and sale” of this drug are “always illegal” at the federal level, as The Block reminds us.
With U.S. politicians more eager to bankarize the marijuana business, rather than bank the future potential digital gold what is Bitcoin, we understand better why we come to see 6 central banks obliged to support the liquidity of the dollarto prevent the entire (or at least Western) banking system from exploding.
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