Lummis Criticises Clinton Over Crypto Warnings

U.S. Senator Cynthia Lummis criticised Hillary Clinton for concerns about threats from cryptocurrencies. A Bitcoin advocate suggested that digital gold could be salvation for the dollar against inflation.

Earlier at the Bloomberg New Economy Forum, Hillary Clinton said that cryptocurrencies could undermine the dollar’s status as a reserve currency. Digital assets could also destabilise entire countries, she added.

“Great leaders do not fear the future. America could win the future by embracing Bitcoin as hard money that can be used to stabilise the dollar and undo the tailspin that began in 1971,” Lummis wrote in reply.

She did not specify how the first cryptocurrency would stabilise the dollar, but she mentioned 1971. Then President Richard Nixon fully abolished the gold standard, transferring control over the money supply ФРС. It is believed this made the economy more inflation-prone, allowing the printing of fiat money.

Perhaps Lummis believes that digital gold could now back the dollar.

In October the senator said that Bitcoin and other “non-fiat currencies” could potentially help Americans and people in other countries to cope with an impending economic crisis.

In August the politician increased her holdings in the leading cryptocurrency. Lummis first invested in digital gold in 2013.

Earlier, after election, the senator pledged to elevate the discussion of bitcoin to a national level and urged to convert a portion of retirement savings into an asset.

Before joining the Senate Lummis served as Wyoming’s treasurer. In 2019 the state passed a law equating cryptocurrencies with money.

The senator became a co-author of an amendment to the infrastructure bill, the provisions of which drew criticism from the crypto community. Neither the Wyden-Lummis-Tumi proposal, nor the competing, nor the compromise amendments to the bill were included.

In November, President Joe Biden signed the plan with no changes to the provisions affecting the cryptocurrency industry.

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