There are two sides when it comes to the idea of decentralization and Bitcoin; there are the proponents who think that it is the answer to our financial needs in the future, and there are opponents who think of Bitcoin as a ruse to destabilize the global economy. In the recent senate hearing on the central bank digital currencies, Senator Elizabeth Warren came on strong to oppose the idea of cryptocurrencies and Bitcoin and asking the lawmakers to deal with this issue head-on.
Due to its non-tracking nature and complete anonymity, Bitcoin has been used in the past for conducting large-scale ransomware attacks, and it could happen even so in the future. Some of the high-profile ransomware attacks that happened in the past were against the colonial pipeline or against the meat producers JBS.
She also weighed in on the hidden and very negative aspects of cryptocurrency as well. She said that every successful hacking attack that is paid off in cryptocurrency or Bitcoin provides others to try it out in their next very likely endeavor. No wonder why Biden administration has cryptocurrency among the list of national security priorities.
The Idea of Bitcoin’s Energy Consumption and Full Anonymous Approach is too much, according to Elizabeth Warren
This was not the only strong point of her speech, as the massive energy usage set aside for Bitcoin mining is another energy and environmental crisis that the world should be prepared for, says Warren. She pointed towards the use of fossil fuels such as coal and how it is being used for mining Bitcoin and, in the long run hurting the economy and, more importantly, our environment and the very definition of sustainability that it supports. Bitcoin mining alone is using more energy than the whole of the Netherland could use in a year.
At the end of her speech, the proposition to have the decentralized aspect of the cryptocurrency trimmed down into a centralized and state-controlled aspect with proper regulations came forward from Warren. She thinks that doing so would help derail the bogus private digital money and make room for the state to keep a close eye on all crypto-related activity.