Bitrabo Editorial
Senator Roger Marshall has retracted his support for the Digital Asset Anti-Money Laundering Act (DAAMLA) Bill, originally proposed by Elizabeth Warren. This shift highlights concerns over excessive regulatory measures affecting the cryptocurrency market.
Senator Marshall’s Position on Crypto Regulation
The DAAMLA Bill, introduced by Elizabeth Warren in December 2022 and later reintroduced in July 2023 with Roger Marshall as a co-sponsor, aimed to combat illicit activities involving cryptocurrencies. Warren cited concerns about illegal fund transfers by rogue entities like nations, drug traffickers, and terrorists using digital assets.
The legislation sought to integrate the crypto sector into existing frameworks for anti-money laundering and counterterrorism financing. It also categorized certain crypto service providers, such as miners and wallet suppliers, as financial institutions subject to the Bank Secrecy Act.
However, the bill faced backlash from industry leaders and entities, prompting Marshall to withdraw his support. This move signifies a shift in the stance towards balancing regulation and innovation in the crypto space.
Industry Opposition and Advocacy
Key industry figures, including Cody Carbone and Perianne Boring from Digital Chamber, have expressed relief over Marshall’s decision. They view it as a significant triumph for the digital asset community, as senators rarely retract their sponsorship of bills, indicating growing resistance to stringent regulations.
Despite Marshall’s reversal, 18 US Senators continue to endorse the bill, highlighting ongoing debates on regulatory measures within the crypto industry.
Challenges to the DAAMLA Bill
Further resistance to the DAAMLA Bill came from the Blockchain Association, a trade group representing the crypto sector in Washington D.C. The association released a letter in February, signed by military and intelligence professionals, raising concerns about the legislation’s potential negative impact on national security and employment.
Their efforts align with broader industry sentiments against the bill, emphasizing the need for balanced and effective regulatory measures for the evolving crypto landscape.