Legislators in Washington are among the true believers in the digital asset class who would hang onto their crypto holdings even during bear markets.
Since the majority of the legislators in Washington want stricter regulation of crypto, the revelation that many of them continue to hold onto their crypto assets, is surprising.
As per the Capitol Trades website, at least nine members of the House and Senate have traded more than a dozen different cryptocurrency assets. The website keeps track of stock transactions by Washington’s elected officials.
Only one of the ten offices that were contacted acknowledged dumping their crypto assets after FTX collapsed. Despite a sharp decline in the stock prices of companies involved in mining and cryptocurrencies this year, the remaining nine have persisted.
Senator Tommy Tuberville, a Republican, revealed this week that he owns some cryptocurrencies. On December 1, he addressed the U.S. Senate Agriculture Committee and questioned who was in charge of monitoring the environmental, social, and governance ratings of cryptocurrencies.
When asked if he would hold his crypto after recent incidents, the Senator said that he would. As of the end of the previous year, he and his wife had up to $30,000 in Grayscale ETH and BTC funds.
Senator Cynthia Lumis also owns Bitcoin worth between $100,001 and $250,000. She is also a member of the Senate Banking Committee and she is a strong advocate for cryptocurrencies to be treated as commodities rather than securities.
In September, Zoe Lofgren, chair of the Committee on House Administration (oversees the day-to-day operations of the House) claimed to have a “meaningful and effective plan to limit the financial activities of representatives and SCOTUS justices, as well as their spouses and children,” in order to combat financial conflicts of interest in the US Congress.
Senator Cynthia Lummis of Wyoming, Representatives Michael McCaul of Texas, Marie Newman of Illinois, Pat Toomey of Pennsylvania, Barry Moore of Alabama, and Michael Waltz and Jefferson Van Drew of New Jersey have been public with their crypto investments.
A representative from New York, Alexandria Ocasio-Cortez said in December 2021 that it would be unacceptable for her to hold Bitcoin (BTC) or other digital assets because U.S. lawmakers have access to crucial information and upcoming regulations.
The Stop Trading on Congressional Knowledge Act or STOCK Act of 2012 would be repealed if the bill were to be passed as written. The act allows members of Congress to buy, sell, and trade stocks and other investments while in office while also requiring them to disclose such transactions.