Benzinga - In a significant development, former Rep. Sean Patrick Maloney (D-N.Y.) has pledged to abstain from any crypto-related work if confirmed as President Joe Biden’s ambassador to the Organization for Economic Cooperation and Development. This comes as a victory for Sen. Elizabeth Warren (D-Mass.) in her ongoing battle with the cryptocurrency lobby.
What Happened: Maloney has assured Warren that he will cease all work on cryptocurrency issues if his nomination as ambassador to the OECD is approved. This commitment comes after Warren expressed concerns about Maloney’s advisory role with Coinbase, the largest U.S. crypto exchange, reported Politico on Monday.
Maloney has pledged to resign from all private-sector advisory roles and recuse himself from OECD decision-making processes on crypto and digital assets policy. He also committed to not accepting employment, board service, or compensation from any crypto company or organization for four years after his OECD tenure.
This pledge is the latest instance of Warren’s influence on administration personnel in the Biden era, where she has also secured ethics commitments from nominees for agencies including the Federal Reserve, Defense Department, and FDA.
Warren has been advocating for a regulatory crackdown on crypto risks, criticizing the crypto industry for recruiting former lawmakers and national security officials to fight her efforts.
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Why It Matters: It should be noted that Maloney is listed on the Global Advisory Council of Coinbase Global Inc (NASDAQ:COIN), a cryptocurrency platform that allows users to trade in Bitcoin (CRYPTO: BTC), Ethereum (CRYPTO: ETH) and other such digital assets.
Warren’s stance on cryptocurrency has been a topic of heated debate. In January, she criticized the use of crypto by rogue nations to dodge sanctions and undermine national security. Her comments drew backlash from the crypto community and industry experts.
Later in the month, Anthony Scaramucci, former White House Communication Director, criticized Warren’s stance on cryptocurrency, calling her “absolutely repulsive and absolutely hypocritical.”
Furthermore, the U.S. Treasury is set to voice its concerns about cryptocurrency's role in illicit finance, seeking additional authority to combat the issue, aligning with Warren’s concerns.
Photo by Sheila Fitzgerald on Shutterstock
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