Crypto Critic Joins CFPB | PYMNTS.com

[ad_1]

A well-known cryptocurrency skeptic is joining the Consumer Financial Protection Bureau, which could signal greater federal scrutiny of digital coins in the future.

Bloomberg News reported Thursday, Jan. 27, that Alexis Goldstein, who leads financial policy at antimonopoly group Open Markets Institute, will work on issues that include digital assets for the office.

Goldstein spent seven years working on Wall Street as a trade analyst, developing trading technology. She eventually became disillusioned with the culture and quit. Later, she joined the Occupy Wall Street movement.

Last year, as a senior policy analyst for Americans for Financial Reform, Goldstein testified before Congress about the Gamestop trade controversy.

Read more: GameStop’s second audience focuses on experts rather than the usual suspects

“Many have framed the GameStop mania as a David vs. Goliath fight,” she told the House Financial Services Committee in March 2021.

In reality, says Goldstein, it’s more like “Goliath vs. Goliath.” The “Goliaths” in this case are the biggest institutional players on Wall Street: hedge funds, especially those that use high-frequency trading algorithms, and the “flow” trading desks of big banks like Goldman Sachs and Morgan. Stanley.

As Bloomberg notes, Goldstein’s views, which have often aligned with those of progressive Democrats, could cause headaches for crypto companies. She called for more oversight on digital tokens, raising concerns about the risks posed by stablecoins and other currencies.

Read more: Warren: CFPB has the power to stop crypto fraud

A number of Democratic lawmakers, including Sen. Elizabeth Warren, D-Mass., have called on the CFPB to be more aggressive in cracking down on abuse in the crypto world.

Last October, Warren said the bureau doesn’t need to wait for other agencies to take action to take its own steps to combat cryptocurrency payment abuse.

“With their intense focus on consumers, the CFPB has a role to play as a beat cop,” Warren said. “Crypto market infiltration crosses the jurisdiction of different regulatory bodies. The answer to this is not that each agency should wait for the other to act, it is that agencies should all take the tools at their disposal and act.

——————————

NEW PYMNTS DATA: 70% OF BNPL USERS USE BANK TRANSFER OPTIONS, IF AVAILABLE

By the way: 70% of BNPL users say they would prefer to use the installment plans offered by their banks, if only they were available. PYMNTS’ Banking On Buy Now, Pay Later: Tempment Payments And FIs’ Untapped Opportunity, surveyed over 2,200 US consumers to better understand how consumers view banks as BNPL providers in a sea of ​​BNPL pure-plays.

[ad_2]