Republican Senator Roger Marshall Backs Out of Controversial Crypto Bill

cryptonews.com:

Republican Senator Roger Marshall has withdrawn his support for the Digital Asset Anti-Money Laundering Act (DAAMLA), an anti-crypto bill he co-authored with Democrat Senator Elizabeth Warren.

Marshall’s withdrawal, announced on July 24, leaves the bill with 18 remaining supporters, as documented in the Congressional directory.

Introduced in December 2022, the DAAMLA bill has been a subject of heated debate.

Senator Warren, a vocal critic of the cryptocurrency industry, argued that digital assets were being exploited by “rogue nations, oligarchs, drug lords, and human traffickers” to launder vast sums of illicit funds.

The bill sought to integrate the crypto industry into existing Anti-Money Laundering (AML) and counter-terrorism financing frameworks, categorizing entities like decentralized wallet providers, validators, and miners as financial institutions subject to the Bank Secrecy Act.

The reintroduction of the DAAMLA bill to the Senate in July 2023 further intensified the controversy.

Crypto advocates argue that the legislation overstates the role of digital assets in illegal activities and threatens to stifle the burgeoning U.S. crypto sector.

The Chamber of Digital Commerce (CDC), a U.S.-based crypto advocacy group, voiced strong opposition, urging the Senate Banking Committee to dismiss the bill.

The CDC warned that passing the legislation could “erase hundreds of billions of dollars in value for U.S. startups” and devastate the investments of Americans who legally hold cryptocurrencies.

In addition to the CDC, a coalition of 80 former U.S. military and national security officials expressed concerns.

In a letter dated February 13, they cautioned lawmakers that the DAAMLA bill might inadvertently hinder law enforcement and