Rise in Elderly Crypto Scams Spurs Call for Legislation: Senators Rally for Digital Asset Anti-Money Laundering Act
Summary:
U.S. Senator Elizabeth Warren, with support from cybersecurity expert Steve Weisman, has emphasized the increase in cryptocurrency scams, particularly targeting senior citizens, endorsing the need for regulations through the proposed Digital Asset Anti-Money Laundering Act. This legislation would impose regular anti-money laundering rules on digital assets, similar to traditional currencies. This comes as recent reports show a 153% increase in crypto scams targeting crypto and Web3 projects in the third quarter of 2023. In addition, nine other U.S. Senators have expressed their support for the proposed law.
U.S. Senator Elizabeth Warren has shed light on the growing problem of cryptocurrency frauds, particularly those targeting the elderly population, garnering support from a cybersecurity expert for her proposed digital assets legislation designed to forestall such frauds. In a recent Senate session, Warren drew attention to how these scams have significantly surged, affecting senior citizens the most. "Crypto investment frauds targeting older adults leaped by 350% last year, leading to losses exceeding $1 billion," she said.
Steve Weisman, a recognized authority in all matters related to cybersecurity and scams, noted during the session that while credit card fraud is immediately noticeable and resolvable, tracking down crypto scams, especially after the assets have been through mixers, proves much more problematic. "The moment digital assets enter mixers, the situation escalates. Although there might be genuine concerns about privacy, they don't even come close to the threats posed by scammers," Weisman stressed.
Weisman threw his whole-hearted support behind Senator Warren's Digital Asset Anti-Money Laundering Act. This piece of legislation aims to subject digital assets to conventional Anti-Money Laundering (AML) regulations just like fiat currencies. "The enactment of your legislation is well overdue. It's a total no-brainer," asserted Weisman.
Recent findings have lifted the lid on the substantial rise in crypto scams during the past quarter compared to the same timeframe in the previous year. Blockchain security enterprise Immunefi's report shows a striking 153% spike in attacks aimed at crypto and Web3 ventures in the third quarter of 2023, from July to September, in comparison to the same period in 2022. Losses amassed during this quarter were roughly $686 million.
Recently, Senator Warren revealed that nine other U.S. Senators have come forward to publicly back the Digital Asset Anti-Money Laundering Act. Support for this initiative includes Gary Peters, who is a member of the Senate Homeland Security and Governmental Affairs Committee, and Dick Durbin, chair of the Senate Judiciary Committee.
Published At
11/18/2023 4:57:32 AM
Disclaimer: Algoine does not endorse any content or product on this page. Readers should conduct their own research before taking any actions related to the asset, company, or any information in this article and assume full responsibility for their decisions. This article should not be considered as investment advice. Our news is prepared with AI support.
Do you suspect this content may be misleading, incomplete, or inappropriate in any way, requiring modification or removal?
We appreciate your report.