Crypto-friendly rules threaten national security: Representative Sean Casten

During a March 5 proceeding of the House Financial Services Committee, US Representative Sean Casten, an Illinois Congressperson, argued that “crypto-friendly rules” endanger US nationalist security.

The lawmaker made the remarks portion debating H.R. 1716, the “Taiwan Conflict Deterrence Act of 2025,” accusing President Donald Trump and Elon Musk of dismantling Anti-Money Laundering and fiscal surveillance laws. Casten added:

“They are pushing crypto-friendly rules that would marque it fundamentally intolerable to find the root of funds that are being utilized to beryllium transferred. I privation to constituent retired that 100% of the ransomware attacks successful the United States are funded by crypto.”

“And yet my colleagues would marque it easier to usage crypto, trim the oversight, and marque it easier to postulation money,” the lawmaker continued.

Representative Sean Casten criticizes pro-crypto policies. Source: US House Financial Services Committee

Pro-crypto Congressperson Warren Davidson responded to Casten, stating, “[…] When we perceive Mr. Casten propulsion retired each sorts of things, we get it — helium wants a surveillance state.”

Davidson added that the United States should not go similar China to deter the South Pacific state and urged lawmakers to abide by the precepts outlined successful the US Constitution.

Congressperson Warren Davidson responds to comments made by Casten. Source: US House Financial Services Committee

Related: Crypto firms rally down Ted Cruz to artifact DeFi broker rule

The creeping menace of the surveillance state

Former National Security Agency (NSA) contractor-turned-whistleblower Edward Snowden warned that the NSA was days distant from taking implicit the internet successful April 2024.

The whistleblower cited expansions to conception 702 of the Foreign Intelligence Surveillance Act (FISA) and the vague connection utilized to picture an “electronic communications surveillance provider.”

According to Snowden, this could perchance compel astir each individual, including bureau workers oregon contractors associated with work providers, to enactment arsenic surveillance agents for the US government.

In November 2024, Snowden sounded the alarm connected centralized blockchains and artificial intelligence, calling for decentralization arsenic a bulwark against the threats posed by concentrations of integer power.

These warnings were echoed by David Holtzman, a erstwhile subject quality nonrecreational and main strategy serviceman of the Naoris decentralized information protocol, successful December 2024.

Holtzman argued that the surveillance threats posed by AI are unparalleled successful quality past and said that decentralization was cardinal to preventing a rising authoritarian threat.

Magazine: Cypherpunk AI: Guide to uncensored, unbiased, anonymous AI successful 2025