Written by 5:45 am Wealth Building Views: [tptn_views]

ShapeShift responds to Sen. Warren’s comments to ‘set the record straight’

According to a recent statement, non-custodial crypto platform ShapeShift has debunked claims by U.S. Senator Elizabeth Warren of “illegal funding”, suggesting that it used the platform as a scapegoat to “push through” its latest cryptocurrency bill.

ShapeShift claimed in a February 19 tweet that Warren made “mistakes” in her “evaluation” of the platform during a recent Senate Banking Committee hearing titled “Crypto Crash: Why Financial System Security is Needed for Digital Assets,” February 14.

In continuation tweetShapeShift denied Warren’s comments regarding his involvement in “illegal funding”, stating that he “never deals with user funds” and has no strategy to “facilitate it”.

This comes after Warren suggested in a Senate hearing that ShapeShift had ulterior motives for restructuring as a DeFi platform in July 2021.

Warren suggested that the restructuring was to encourage people to “launder” money on the platform.

Shapeshift also clarified that it’s “not an exchange”, explaining that it’s an open-source crypto dashboard that “connects users” across protocols and platforms.

He added that he cares about “the identical things” as Warren, citing “user safety” and “access to innovation” as common goals.

ShapeShift encouraged Warren and others to “constructively engage” about financial freedom and innovation with their community by sharing a link to their discussion forum.

This comes only a day after Erik Vorhees, CEO of ShapeShift, posted on his personal Twitter on February 18: stating that she is looking forward to Warren “making a proposal” to the DAO’s Shapeshift governance process in response to her criticism of the platform.

Related: US Senator Elizabeth Warren Says Cryptocurrency Will Destroy Economy, Community Responds

Warren has been a vocal cryptosceptic recently, commenting in a January 25 interview suggesting that the United States Securities and Exchange Commission (SEC) should “double down” its crypto enforcement efforts because the crypto industry is afraid of what is going to occur next.

She claimed that the previous SEC administration had “essentially given the green light” to opening up a cryptocurrency market “stuffed with junk tokens, unregistered securities, scams, Ponzi schemes, pumps and dumps, money laundering and sanctions evasion.”

Cointelegraph contacted ShapeShift for comment but received no response on the time of publication.

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