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US Senator Elizabeth Warren Criticizes Foreign Crypto Miners, Says They Threaten National Security

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Well-known cryptocurrency critic and United States Senator Elizabeth Warren is waging war on digital asset miners, especially foreign-owned facilities, for their supposed risks to environmental and national security.

During a recent Senate Committee on Banking, Housing, and Urban Affairs hearing, Warren questioned the Treasury Department’s assistant secretary for investment security, the Honorable Paul Rosen, about the threat such entities pose on U.S. soil.

A Threat on U.S. Soil

Warren said Chinese citizens and people with direct ties to the Chinese government own one-third of crypto mining facilities in the U.S., insisting that they can be used for espionage and threaten the U.S. energy sector, energy resources, and energy supply chain. She cited a New York Times report that said Chinese-owned Bitcoin mining facilities in the U.S. use enough energy to power 1.5 million homes.

According to Warren, these mining facilities are loud, hot, and “suck up a ton of electricity,” which can crash the nation’s power greed. She called crypto mining an environmental disaster, which also poses national security risks.

“Foreign adversaries are using cryptomines to spy on U.S. military operations. That is an obvious national security risk. But it isn’t the only risk. Foreign-owned crypto mines also threaten the energy grid…

National security experts have warned that foreign-owned crypto mining facilities’ connection to our energy grid could leave the U.S. vulnerable to targeted blackouts and cyber attacks,” the politician stated.

Warren further explained that these foreign nationals have been able to buy up U.S.-based crypto mining facilities by paying in crypto, bypassing the traditional banking system and its anti-money laundering (AML) measures. She emphasized the need to “plug the holes” by implementing AML rules in the crypto sector.

Sen. Roger Drops Support For DAAMLA

Senator Warren’s latest jab against crypto miners comes as Senator Marshall Roger withdraws his support for the Digital Asset Anti-Money Laundering Act (DAAMLA), which they sponsored and introduced together last year.

DAAMLA is an anti-crypto bill that aims to subject the industry to existing AML laws and counter-terrorist financing networks. It has gained support from multiple entities, including the Bank Policy Institute, the National District Attorneys Association, and the National Consumers League.

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