U.S. Democratic Senator Richard Blumenthal (리처드 블루멘솔) again stepped up criticism of the crypto industry, describing cryptocurrencies as a means abused for crime.

On July 30, blockchain outlet U.Today cited Blumenthal as referring to testimony from a romance-scam victim disclosed at a Senate forum and making clear his opposition to easing crypto regulation.

In a post on X, formerly Twitter, Blumenthal wrote, "Crypto is the currency of choice for crooks." He cited testimony from Lori Flowers, who suffered romance-scam losses worth millions of dollars, and argued criminals need crypto to succeed in their crimes. He also said, "We cannot keep giving the bad guys an easy button."

Flowers, who attended the Senate forum, testified that she lost most of her assets to a romance scam in 2022. A pharmaceutical company sales employee, she said criminals used cryptocurrencies to make the funds unrecoverable. Blumenthal said this structure is expanding crypto fraud and financial fraud, and that digital assets make it easier to launder stolen money.

The dispute has shifted to the CLARITY Act under discussion in the Senate. The bill, backed by Republicans, aims to clarify the regulatory framework for digital assets, but Blumenthal warned it could weaken enforcement by limiting the role of state attorneys general. He has previously criticised the bill as lacking sufficient ethical safeguards.

The opposition goes beyond Blumenthal's individual concerns. Elizabeth Warren (엘리자베스 워런), the top Democrat on the Senate Banking Committee, recently criticised amendments to the CLARITY Act as "full of loopholes." Senators Chris Van Hollen (크리스 밴 홀런) and Lisa Blunt Rochester (리사 블런트 로체스터) have also expressed opposition, saying consumer protection safeguards are insufficient.

Anti-crypto offensives by progressive Democratic lawmakers are intensifying ahead of the midterm elections. Senator Bernie Sanders (버니 샌더스) recently said at a campaign event in Minnesota that he would fight cryptocurrencies along with the artificial intelligence industry. Warren also criticised what she called the growing influence of political action committees backed by the crypto industry.

The flow of political money has also emerged as a point of contention. Crypto-backed super PACs, including Fairshake and affiliated groups, have already emerged as major money players in U.S. politics. Against this backdrop, some Democrats are continuing checks on the industry by foregrounding consumer harm and money-laundering risks, separate from talks on overhauling the regulatory system.

A key question going forward is how far the Senate showdown over the CLARITY Act will expand. Republicans are emphasising regulatory clarity, while Democrats are raising concerns about crime response and the potential weakening of enforcement authority. The regulatory debate over the crypto industry is expected to continue, tied not only to the bill's design but also to political issues in the election season.

Crypto is the currency of choice for crooks. Lori Flowers shares her story as a victim of crypto-enabled transnational organized crime—in order for them to succeed, her scammers needed crypto. We cannot keep giving the bad guys an easy button. pic.twitter.com/pFiCsSb9UJ