U.S. Senator Cynthia Lummis (R-WY), one of the most outspoken political advocates for Bitcoin, shared in an interview with CNBC on Tuesday that she believes Bitcoin is a decentralized commodity, and that the other crypto assets behave like securities.
When questioned whether and to what extent crypto assets outside of Bitcoin were “here to stay,” Cynthia Lummis responded, “I do think Bitcoin is here to stay,” the senator went on to say that she thinks the other cryptos are not.
Among the merits of Bitcoin, and the advantages it has over every other asset, Lummis listed the fact that “Bitcoin is fully decentralized”, and that there are no premined profits being enjoyed by the person or entities who created it, unlike the issuance of the other cryptos by centralized people or entities, who often take premining profits. The pump-and-dump nature of the cryptos outside of Bitcoin are part of what casts them into the realm of securities.
“Bitcoin is clearly a commodity. It is digital gold,” Senator Lummis stated. The Wyoming senator went on to advocate a regulatory framework within which the Bitcoin space can continue to innovate.
When asked about congressional spending bill negotiations, Senator Lummis stated "We are talking about trillions of dollars. This is money we don't have- inflation is running at full speed."
On inflation, Lummis reiterated, “It is not transient. It is here to stay.”
Senator Lummis also voiced an opinion that the federal reserve should raise interest rates, not spend as much in general, and mentioned that she was for “no quantitative easing.”
Senator Lummis concluded, “Bitcoin is the standard. Everything else has to be monitored differently, because they are created differently.”
These comments come at a time when the majority of news outlets, politicians, and major voices in the Bitcoin and crypto space fail to differentiate between Bitcoin and other crypto's attributes at all, often using the two distinct classes interchangeably.
Cynthia Lummis is sharing her understanding and clarifying the distinction between Bitcoin and crypto for many by advocating for clearer regulatory definitions. Bitcoin carries with it a fundamental guarantee to property. Cryptocurrencies do not.