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Dogecoin has ‘significant problems’ that need to be fixed, says Elizabeth Warren

Massachusetts Sen. Elizabeth Warren recently slammed Bitcoin and Dogecoin

A dog bowl with coins symbolizing the Dogecoin cryptocurrency. Illustration by Alex Cochran, Deseret News

Massachusetts Sen. Elizabeth Warren criticized cryptocurrencies recently, saying they have massive issues that need to be taken seriously.

What did Elizabeth Warren say about cryptocurrency?

Warren spoke about cryptocurrency at a hearing with the Senate Banking, Housing and Urban Affairs Committee’s Subcommittee on Economic Policy.

  • The Massachusetts senator said cryptocurrency has “significant problems.”

Per MassLive.com, Warren’s issues with cryptocurrency include “fluctuating value, investment issues, illegal activity and cost to the environment.”

  • “Cryptocurrency has created opportunities to scam investors, assist criminals and worsen the climate crisis,” Warren said, according to MassLive.com. “The threats posted by crypto show that Congress and federal regulators can’t continue to hide out, hoping that crypto will go away. It won’t. It’s time to confront these issues head-on.”

What did Elizabeth Warren say about Dogecoin?

Warren also called out Dogecoin because of its instability and the volatile market.

  • “In just the last two months, the value of Dogecoin increased by more than tenfold and then declined by nearly 60%,” Warren said, according to MassLive.com. “Now that may work for speculators and fly-by-night investors, but not for regular people who are looking for a stable source of value to get paid in and to use for day-to-day spending.”

White House to look at Dogecoin

Warren’s call for oversight comes as the White House, lawmakers and U.S. central bankers are reviewing how to regulate cryptocurrency, according to The Washington Post.

The Biden administration is currently reviewing any “gaps” in the crypto market it needs to fill, like “whether it can be used to finance illicit or terrorist activities,” The Washington Post reports.

  • That said, an unnamed source told The Washington Post that the White House wants investors to “dogecoin to their heart’s content.”
  • “They’re aware of the fact that there are all kinds of risks in the abstract and things to look out for, but they are still largely in a wait-and-see posture,” an unnamed source told The Washington Post.