At a recent Senate hearing, an expert in cybersecurity spoke out in favor of Senator Elizabeth Warren’s Digital Asset Anti-Money Laundering Act.
A cybersecurity expert has endorsed Senator Elizabeth Warren’s proposal on digital assets in an effort to forestall future cryptocurrency frauds that target American seniors. Warren has previously highlighted the dangers of such scams.
During a recent congressional session, Warren detailed the alarming rise in cryptocurrency frauds aimed against American seniors:
There was a 350% spike in senior crypto investment frauds last year. Across all age categories, it is the most significant increase. More than $1 billion was lost by seniors in crypto frauds.
At the same time, Warren’s designated cybersecurity and scam expert Steve Weisman pointed up during the hearing that crypto presents more difficulties with transparency than credit card fraud, which can be quickly spotted, halted, and tracked. He stressed again how much more difficult it is to trace crypto after it has passed via mixers.
It becomes problematic as soon as it enters the mixers. Concerns about personal information are valid, but they pale in comparison to those of the fraudsters.
Warren introduced the Digital Asset Anti-Money Laundering Act, which Weisman has voiced his support for. This bill aims to make sure that digital assets are subject to the same AML standards as physical money.
“Delivery of your bill is really delayed. “It is obvious,” Weisman said. This comes as news broke that cryptocurrency hacks and frauds were up significantly in the most recent quarter compared to the same period previous year.
From July to September 2023, the number of attack occurrences targeting crypto and Web3 projects increased by 153% compared to the same time in 2022, according to Immunefi, a blockchain security startup. Around $686 million was lost in the most recent quarter.
At the same time, nine other senators have openly backed the Digital Asset Anti-Money Laundering Act, which Elizabeth Warren just disclosed.
The effort has the backing of many prominent senators, including Homeland Security and Governmental Affairs Committee member Gary Peters and Senate Judiciary Committee head Dick Durbin.