U.S. Senator Cynthia Lummis argued that the Justice Department’s stance on cryptocurrency self-management conflicts with existing Treasury guidance and violates the rule of law.
Lummis (R-WY) said he opposes the Biden administration’s criminalization efforts related to the Bitcoin (BTC) network and decentralized finance (defi).
The Justice Department’s stance has prompted legal action against cryptocurrency companies, including charging Bitcoin mixer Samourai Wallet and Tornado Cash developer Roman Storm with transferring funds without a license.
The cryptocurrency community, led by advocacy groups like Coin Center, strongly opposed the DOJ’s interpretation.
“All functioning cryptocurrency wallets and smart contracts are conducting fund transfers, and all developers are engaging in unlicensed fund transfers,” said Peter Van Valkenburgh, director of research at Coin Center. This position contradicts FinCEN’s established guidance. I pointed out that it does.
Coin Center also filed a brief in support of Roman Storm, arguing that disclosure of Tornado Cash’s code is protected under the First Amendment.