Police in Hong Kong have arrested 458 people in relation to an extensive organized crime money laundering network. The sting reportedly brought down a Triad-controlled operation that used crypto trades to wash the proceeds of as many as 314 crimes.

According to local media reports on August 25, the recent string of arrests occurred over the course of seventeen days.

Triad Money Laundering Operation Washed $64.5M in Criminal Earnings

During this period, the Hong Kong Police arrested 330 men and 128 women in 400 separate raids across the city. The suspects included 423 Hongkongers and travelers from mainland China and elsewhere. 

As part of the operation, law enforcement reportedly intercepted more than 16 million yuan ($2.2M). However, this pales compared to the 470 million yuan ($64.5M) it is suspected of processing. 

In a statement reported by the South Shina Morning Post, Senior Superintendent Lui Che-ho said that many of the people arrested had been taken advantage of by organized crime syndicates.

“Criminal syndicates lured them into money-laundering activities with monetary rewards,” he said. “They were paid hundreds to thousands of dollars each, but had to hand over the details of the bank accounts used to process the illegal funds.”

Continuing, he said that the group laundered dirty money by withdrawing it from bank accounts. They then used the cash to purchase cryptocurrencies.

Hong Kong Battles Money Laundering While Fostering Its Crypto Sector

Lui Che-ho’s comments highlight the way such money laundering rings often swap fiat for crypto to help hide the trail of illicit funds.

Regulators around the world have imposed strict anti-money laundering (AML) rules on businesses that deal with crypto. But Hong Kong is also attempting to cultivate its crypto sector. And at times, the two objectives can seem at odds.

For example, Hong Kong’s AML regulations require banks to carry out so-called due diligence checks on their customers.

But in June, the territory’s financial regulator sent a letter to lenders emphasizing that due diligence procedures shouldn’t place an “undue burden” on crypto businesses.

The intervention applied pressure to lenders that are reluctant to take on crypto firms as clients over AML concerns. Major banks including Standard Chartered and HSBC, were among the letter’s recipients.

Of course, Hong Kong isn’t the only place where AML rules present a challenge to companies that deal with cryptocurrency. One recent report found that two-thirds of all businesses surveyed expressed concerns about the possibility of violating AML regulations.

Governments around the world are scrambling to sure up supplies of graphics processing units (GPUs) needed for AI development and processing.

With the most sought-after chips in short supply, countries including the United Kingdom, Saudi Arabia are expending serious financial and diplomatic resources to secure enough GPUs for their domestic AI sectors.

Middle Eastern Governments Spend Big on Prized Nvidia Chips

According to a report this week in the Financial Times, Saudi Arabia has bought at least 3,000 of Nvidia’s H100 chips for the King Abdullah University of Science and Technology with the intention of building a new supercomputer

The report states that the UAE has also invested in thousands of Nvidia chips via state-owned businesses.

In those countries, governments are investing heavily to help advance AI research and foster innovation. And they need to. At $40,000 a piece, H100s don’t come cheap. But they have become nearly essential in the world of advanced AI development.

Few technology companies have the resources needed to train large AI models like OpenAI’s GPT-4. Due to their high processing power, the expensive Nvidia chips are highly prized for such tasks. And the GPU maker has emerged as a key player in the contemporary AI boom. Yet even so, OpenAI’s supercomputer contains 10,000 A100s, a predecessor to the H100.

UK’s AI Sector to Benefit From £100 Boost to GPU Supply

In a bid to bulk out the UK’s AI capacity, it was reported on Sunday, August 20, that Prime Minister Rishi Sunak has committed £100 million of public money to order key components from Nvidia, AMD, and Intel. 

The report notes that the government is also in the advanced stages of securing GPUs from Nvidia.

In the long run, however, the challenge of maintaining a technological edge is far more complex and dynamic. For countries like the UK, stockpiling GPUs is only a temporary fix to ongoing challenges.

Building Domestic Manufacturing Capacity

Part of the reason graphics cards are so expensive is that the entire GPU supply chain is throttled by the manufacturing capacity of chip-makers in Taiwan. 

Commenting on tensions between Taiwan and China, the CEO of Nvidia has said he feels “perfectly safe” about relying so much on the supplies from the chip powerhouse. But governments around the world have flagged the issue as a national security concern. And many see domestic bolstering their domestic manufacturing capacity as key to maintaining a secure chip supply.

For example, the UK government has published a national semiconductor strategy. Over the next ten years, the plan will see a billion pounds invested in the country’s chip manufacturing sector. However, that figure is dwarfed by subsidies in the EU and US, which have pledged $52 billion and €43, respectively, to support semiconductor manufacturing.

Ethereum inventor Vitalik Buterin has received an “Employment Gold Card” from Taiwan as the country ramps up efforts to put its nascent crypto sector on the map.

The Employment Gold Card is a special visa program designed to attract foreign talent to the country. It will allow Buterin to reside in Taiwan for up to three years and work without any restrictions.

Vitalik Buterin Backs Taiwan’s Blockchain Sector

Buterin has been a vocal supporter of Taiwan and its blockchain industry and has visited the country on multiple occasions. 

Last year, he even appeared on the Innovative Minds podcast with Taiwan’s Minister for Digital Development, Audrey Tang. They discussed blockchain technology and its role in global politics and the world economy during the show.

They also talked about Buterin’s views on identification technologies like Worldcoin.

Tang presented Buterin with his Employment Card at a ceremony this week during the Plurality Taipei conference. The event brought together a diverse group of technologists to discuss digital democracy and the challenges presented by online discourse.

According to local media, Buterin said that Taiwan has a thriving Ethereum community. He added that the Gold Card will allow him to visit and work there more easily in the future.

Taiwan Prepares for Hong Kong-Style Crypto Regulations

Courting crypto leaders like Vitalik Buterin is one way Taiwan’s government supports the country’s emerging blockchain sector. Like others around the world, it has also moved to regulate the space and establish a clear rulebook for crypto firms.

Initially announced in March, Taiwan’s anticipated regulatory framework will give the Financial Supervisory Commission (FSC) responsibility for overseeing the country’s crypto sector. 

In a document seen by the Taiwanese news outlet ABMedia, the FSC outlined 13 principles that will guide its approach to crypto regulation.

The new guidelines would require cryptocurrency exchanges to register with the FSC and comply with anti-money laundering (AML) regulations. 

They also propose consumer protection measures. For example, the FSC suggests mandating certain hot and cold wallet ratios for customer deposits with crypto exchanges. It also recommends requiring them to insure against user losses.

Significantly, the proposed guidelines look to Hong Kong as a model for Taiwan’s crypto regulation. Although the FSC referred to other regulatory regimes around the world, it paid special attention to Hong Kong’s Virtual Asset Service Provider (VASP) licensing framework.

Other ideas discussed in the document include a ban on stablecoins pegged to the Taiwanese dollar and restrictions on foreign exchange advertising in the country. 

Finally, the FSC expressed an interest in fostering self-regulation through the establishment of new industry associations. To that end, Taiwan’s Ministry of Economic Affairs has drafted an amendment to existing legislation governing such associations. The latest amendment will create a specific category for digital asset services.

Stablecoins are helping to maintain dollar supremacy as international users drive demand for dollar-denominated cryptocurrencies.

The trend stands in contrast to narratives that depict crypto as a threat to the dominance of US dollars.

Non-US Markets Drive Demand For Dollar-Pegged Stablecoins

In comments this week, Circle CEO Jeremy Allaire reported that 70% of demand for USDC comes from outside the US. 

Noting that the fastest growth in adoption has been observed in emerging markets, he said that “demand for safe, transparent digital dollars is strong,” across Asia, LATAM, and Africa.

The largest stablecoin issuer, Tether, has also emphasized emerging markets as central to the continued adoption of USDT.

According to the firm, people in countries with volatile domestic currency use stablecoins to hedge against inflation without needing a USD-based bank account or holding cash.

Stablecoins Can Help Maintain Dollar Supremacy Says Ex-Binance Exec

In an interview with CNBC on Friday (Aug. 11), Brian Brooks, the former CEO of Binance US, discussed rising international demand for dollar-pegged stablecoins:

“Citizens in countries that have high inflation are really strongly demanding dollar-denominated products to keep their money safer after they’ve earned the money […] In many countries where you can’t get a dollar bank account, stablecoins are your best solution.”

Moreover, he implied that the US could leverage this demand to “make the dollar relevant again.” At a time when governments around the world want to limit the dollar’s role in the global financial system, Brooks argued that stablecoins could cement its position. 

However, he warned that the opportunity could be lost if the country doesn’t ratify an appropriate regulatory framework. Criticizing US policy on the issue, he said the government had suppressed stablecoin adoption by failing to regulate it properly.

Stablecoin Issuers Now Critical to Global Economy

Advocates of stablecoin regulation like Brooks point to their growing role in the global economy, arguing that they should be subject to the same oversight as banks.

Certainly, the $81.8 billion in assets under management that Tether reported in May puts it on par with a small American bank or even a large bank in an emerging economy. Yet few banks come close to Tether’s near-monopoly of the stablecoin market.

Blockworks data shows that USDT accounts for over two-thirds of the total stablecoin supply, and its dominance has only grown in recent months. Often, this has been to the detriment of alternatives like BUSD, which has seen its market share slide.

What’s more, USDT’s closest rivals are all also denominated in US dollars. By comparison, the market for digital pounds or euros, for example, is tiny.

The US dollar is an undeniably powerful force in the global economy. And if dollar-pegged stablecoins continue to dominate and stablecoin adoption continues to rise, it will remain so.

In a move emblematic of a new age in political campaigns, Miami Mayor and avid crypto proponent Francis Suarez has officially begun accepting Bitcoin donations for his 2024 Presidential bid.

This announcement underscores Suarez’s long-standing commitment to digital assets and illuminates the benefits of Bitcoin in political fundraising.

Presidential Candidate Suarez Accepts Bitcoin Donations

Francis Suarez expressed, “Officially, my campaign is accepting Bitcoin.” He believes that adopting crypto paves the way for democratizing opportunities for wealth generation. Especially because, due to the decentralized nature of BTC, it is not influenced by human ulterior motives or political agendas.

Since his meteoric rise to the mayoral office in 2017, Suarez has consistently tried to transform Miami into the nation’s “crypto capital.” A testament to his dedication was the unveiling the “Miami Bull” statue in 2022. This contemporary reinterpretation of Wall Street’s famed bull inaugurated the Bitcoin 2022 conference.

Read more: Is Miami Mayor Francis Suarez the Most Pro-Bitcoin 2024 Candidate So Far?

The integration of Bitcoin in Suarez’s campaign goes beyond a fundraising tool. On X – previously Twitter – Suarez fervently expressed:

“Cryptocurrency is the future and it’s here to stay—America’s next president must lean into this generational opportunity, not shy away.”

He even enticed donors in a promotional effort by promising a “Vote Bitcoin” t-shirt for a donation as small as $1 in BTC.

Moreover, Suarez has been consistently innovative in his fundraising strategies. His campaign previously provided $20 gift cards for donations. It even allowed supporters to win tickets to a soccer match featuring the global icon Lionel Messi.

However, the road to the White House is not solely paved with Bitcoin. Suarez still needs to overcome the Republican National Committee’s criteria, which include achieving the support of 40,000 donors spread across 20 states and polling at a minimum of 1% in select polls.

Read more: These US Presidential Candidates Are Accepting Bitcoin (BTC) Donations

The competition is fierce, with notable figures like former President Donald Trump and Florida Governor Ron DeSantis already in the race.

Bitfinex Money Launderers Agree Plea Deal in $3.6 Billion Bitcoin Heist

Two alleged money launderers accused of processing nearly 120,000 Bitcoin stolen from Bitfinex in 2016 have reached a deal with prosecutors.

Nearly six years after the crypto exchange was hacked, Heather Morgan and Ilya Lichtenstein have entered into a plea agreement, court records showed on Friday. The married couple will now appear at a plea hearing on Aug. 3.

The Majority of $3.6 Billion Recovered From Bitfinex Hack

At the time of the initial hack, the USD value of the stolen assets stood at around $72 million. Today, they are worth nearly $3.6 billion.

As part of the investigation that led to the arrest of Morgan and Lichtenstein last year, authorities have seized the majority of the 119,756 BTC stolen from Bitfinex. On Friday, Chainalysis reported that 108,068 Bitcoin had been recovered in total.

The U.S. Department of Justice (DoJ) currently controls the stolen crypto. However, it is uncertain what the government will do with the funds upon the conclusion of the court proceedings.

In a statement commenting on the seizure of a significant portion of the stolen Bitcoin last year, Bitfinex said it would fight to secure its ownership of the assets. If it succeeds, the exchange will use 80% of the recovered funds to repurchase and burn LEO tokens.

Should this happen, it would likely drive the price of LEO up. When news broke that most of the stolen Bitcoin had been recovered, the price of LEO surged more than 50%.

Closing the Net on BTC Laundering Operation

The arrests of Morgan and Lichtenstein and the seizure of assets stemming from the Bitfinex hack were the result of a joint investigation by U.S. law enforcement agencies. 

Following the trail of stolen Bitcoin required a combination of on-chain analysis, cooperation with numerous crypto exchanges, and real-world investigations. 

The criminal complaints against the accused parties allege that they employed a complex and multifaceted strategy to launder proceeds. This included the use of false identities, multiple exchanges, thousands of Bitcoin wallets, cross-chain cryptocurrency swaps, crypto mixers, and a darknet market to obscure the passage of funds. 

Such scenarios are typical in the world of money laundering. The cat-and-mouse game between law enforcement and money launderers plays out as a technological arms race.

And while privacy advocates have defended crypto mixers like Tornado Cash, authorities condemned them for their role in money laundering.

For instance, Europol took down the ChipMixer crypto-tumbling service earlier this year. The cross-border law enforcement agency claimed ChipMixer facilitated the laundering of 152,000 Bitcoin before it was dismantled.

Busted by a Walmart Gift Card

Despite the high-tech nature of contemporary crypto laundering, In the end, it was the point at which the Bitfinex money launderers attempted to offramp into fiat that appears to have incriminated them.

As detailed by Chainalysis, a Walmart gift card redeemed by Morgan, also known by her rapper alias ‘Razzlekhan,’ provided a crucial clue.

Initially, investigators identified gift cards purchased with Bitcoin that could be traced back to the Bitfinex hack. One of these, a Walmart gift card, was redeemed through an iPhone app under an account in Heather Morgan’s name. 

From there, agents were able to get a search warrant for Lichtenstein and Morgan’s home and cloud storage accounts. Having obtained access to an account controlled by Lichtenstein, investigators found private keys for a digital wallet. One of these directly received funds stolen from Bitfinex.

In an intriguing twist of her political trajectory, Senator Elizabeth Warren, known for her aversion to cryptos, has focused on the practices of tech mogul Elon Musk.

Known as the world’s wealthiest man, Musk’s recent management decisions have drawn the ire of the Massachusetts senator. It set the stage for her recent call to the Securities and Exchange Commission (SEC) to investigate Musk’s alleged conflicts of interest at Tesla and Twitter.

Senator Elizabeth Warren Goes After Elon Musk

Senator Elizabeth Warren is concerned that Elon Musk’s extensive workload could be detrimental to shareholders’ interests. Her argument revolves around Musk’s simultaneous roles as CEO of both Twitter and Tesla.

The American politician argues this dual responsibility has raised serious concerns about conflicts of interest. It could lead to a potential misuse of corporate assets, and negative impacts on Tesla shareholders.

“Though Mr. Musk recently announced the hiring of Linda Yaccarino as the new CEO of Twitter, this does little to address the concerns to Tesla and its shareholders related to his dual role. Despite hiring Ms. Yaccarino, he is likely to retain ‘significant control’ over the company and intends to continue overseeing core functions of the business,” said Warren.

Indeed, Warren’s indignation is fueled by what she sees as Tesla’s board of directors’ failure to address these issues. She asserts that the board has not adequately informed shareholders about Musk’s questionable capacity.

In her letter to the SEC, Warren requested an examination of how Tesla’s board of directors managed “the apparent conflicts of its CEO, Elon Musk.”

“Inevitable conflicts of interest arising from, for example, Twitter’s reliance on advertising revenue from automobile companies that are in direct competition with Tesla, including Audi, Chevrolet, Ford, GM, Jeep, and Volkswagen… Mr. Musk could run Twitter to benefit Tesla through favorable algorithms or free advertising,” said Warren.

Investors have been allegedly left in the dark, undermining their ability to make informed voting and investing decisions. Even Cathie Wood revealed that ARK Investment Management reduced its holdings in Twitter by 47% since Musk took over the social media giant.

Meanwhile, Oppenheimer & Co. downgraded its rating on Tesla. The decision came after Elon Musk’s decision to purchase Twitter, which was followed by a 58% plunge in Tesla’s stock

“We believe Mr. Musk is increasingly isolated as the steward of Twitter’s finances with his user management on the platform. We see potential for a negative feedback loop from departure of Twitter advertisers and users,” said Colin Rusch, an analyst at Oppenheimer.

Championing Financial Accountability

The twist in the senator’s narrative comes from her previous focus on cryptocurrency regulation, particularly in her “anti-crypto” stance. Warren had previously argued that the lack of regulations and the potential for fraud made the crypto industry a threat.

“Crypto is helping fund the fentanyl trade, and we have the power to shut that down. It’s time,” said Warren.

Her decision to shift her attention from the crypto to the world’s richest man is seen as a dramatic repositioning.

Still, this shift does not suggest softening her views on crypto. Rather, it appears to expand her focus to include any financial entities or individuals she perceives to be acting contrary to the public’s best interest.

Read more: Warren Calls on All Regulators to Rein in Crypto

As Warren prepares for another Senate term, she continues to leverage her reputation for championing corporate governance and regulation. From her anti-crypto stance to her current anti-Musk campaign, Warren underscores her role as a watchdog of financial accountability.

New York Representative Ritchie Torres, a Democrat, has taken a bold stance. He has criticized the United States Securities and Exchange Commission (SEC) and its approach toward crypto regulation.

The move follows what Torres termed a “dreadful day in court” for the SEC, hinting at an ongoing legal battle with Ripple.

Congressman Torres Speaks Out Against the SEC

Rep. Torres penned a letter to SEC Chair Gary Gensler on July 18. He urged Gensler to reconsider the regulatory body’s position on crypto.

Furthermore, the Congressman expressed concern over the SEC’s focus on “bonafide bad actors” rather than “indiscriminately” treating the majority of crypto assets as securities.

“The SEC has chosen to communicate and regulate not by clear rule or guidance but by enforcement actions, often politically timed. The endless stream of contradiction and contusion, as well as the arbitrariness of the entorcement actions themselves, is the opposite of fair notice,” said Rep. Torres.

The move comes after Judge Analisa Torres (no relation) suggested that Ripple’s XRP should not be considered a security. Consequently, this puts the SEC’s case against Coinbase on shaky ground.

Rep. Torres said the recent court decision in the SEC vs. Ripple case “resoundingly rejected the regulatory overreach of the SEC.”

Read more: Full List of Cryptos Named Securities in SEC Lawsuits

A key part of the the ruiling is that cryptos are not securities in themselves. Instead, they qualify as securities under the Howey Test only when sold as part of investment contracts.

This provides clarity to the often-confusing US crypto regulation, a sector growing exponentially with little established legislation.

The SEC has been accused of muddying the waters with mixed messages and a lack of clear guidance. The federal agency often contradicts the Commodity Futures Trading Commission (CFTC) and itself. This confusing stance has led to what Rep. Torres calls a “regulatory assault” on the crypto industry.

Furthermore, Rep. Torres highlights that the SEC, under Chair Gensler’s leadership, has failed to issue a single rule on crypto, only creating more confusion with politically timed enforcement actions.

“I hope that the SEC will find itself so chastened by the court’s decision that it will concentrate the commission’s enforcement energies where it belongs: on the bonafide bad actors who perpetrate serious transgressions like fraud, market manipulation, and the misappropriation of customer funds,” said Rep. Torres.

The congressman’s concerns echo a sentiment held by many within the crypto industry. Indeed, industry leaders argue that a lack of clarity and inconsistent messaging from regulatory bodies only hamper growth and innovation.

The House Financial Services Committee’s decision to delay a vote on stablecoin and crypto trading legislation by a week has caused a stir.

Previously scheduled for July 17, the rescheduling to July 26 marks another chapter in the United States’ complex stance on crypto regulation.

US Stablecoin Bill Sparks Debate

The legislation, designed to “provide for the regulation of payment stablecoins, and for other purposes,” has sparked bipartisan debate.

On one side, Democratic lawmakers continue to display skepticism. They align with industry advocates who contend that current securities laws are robust enough to manage cryptocurrencies.

“It proposes a cumbersome framework with inherent structural issues that will undermine the ability of our federal financial regulators to properly regulate and oversee an industry already rife with instability and fraud,” Rep. David Scott said.

On the other side, Republicans, spearheaded by Reps. French Hill and Patrick McHenry, see the need for new legislation to regulate digital assets. They have turned towards the Commodity Futures Trading Commission (CFTC) as a preferred regulator.

The goal is to marginalize the Securities and Exchange Commission’s (SEC) reach into the crypto industry.

“[We want to put out a stablecoin] bill that deals with both the capital raising piece for digital assets all the way through how a product goes from a securities regime to a commodities regime. At the same time, [we want to] preserve our right around products that [fit] neither neatly into the securities or commodities regime and the ability for people to exchange those,” McHenry said.

Read more: This Congressman Wants to End America’s War on Crypto

Recent developments in the SEC’s case against Ripple Labs could potentially influence the proceedings. A landmark ruling by federal Judge Analisa Torres stated that Ripple’s XRP sales to institutional investors violated securities laws.

Still, other sales, notably those to everyday investors on crypto exchanges, were exempt from these rules.

“The ruling gives large institutional investors greater protections than everyday Americans. Outcomes like this are what happens when regulators force courts to make policy instead of Congress. Our comprehensive market structure legislation will give all investors, customers, and market participants the same longstanding protections found in traditional financial markets,” McHenry stated.

The Influnce of SEC vs. Ripple Ruling

The verdict’s ramifications extend beyond Ripple, sending waves throughout Wall Street and Silicon Valley. The investor protections granted to registered investment products, it appears, do not extend to retail traders.

This discrepancy, as Howard Fischer, former senior trial counsel at the SEC, points out, is “almost counterintuitive.”

The implications of this ruling have given Republicans an opportunity to rally support for their proposed stablecoin bill. However, they face staunch opposition from Democrats. They generally support SEC Chair Gary Gensler’s position that most crypto activity falls under the SEC’s jurisdiction.

Read more: Senator Elizabeth Warren Wants to Form an Anti-Crypto Army

The House Agriculture Committee also expected to debate and vote on the legislation. The anticipation surrounding these discussions is heightened by their potential implications for the future regulatory framework of cryptocurrencies. Especially Bitcoin, the largest digital asset viewed as a commodity.

The delay of one-week for the stablecoin bill may provide a breather for all parties involved, allowing for more negotiation and changes.

Florida Governor Ron DeSantis has declared central bank digital currencies (CBDCs) a “threat to American liberty.”

During an interview with former Fox News anchor Tucker Carlson, DeSantis, a presidential candidate, asserted his administration would thwart any efforts by the Federal Reserve to launch a digital dollar.

Ron DeSantis: The Fed Wants to Replace Cash With CBDC

At an event organized by the right-wing lobbying group Family Policy Alliance, Carlson queried DeSantis about his concerns that the Federal Reserve might attempt to impose a CBDC on Americans.

DeSantis maintained that any such action would require congressional approval. Nevertheless, he voiced concerns that the Fed might try to initiate a digital dollar unilaterally, an action he believes would be unconstitutional.

“if I’m the President, on day one, we will nix central bank digital currency,” DeSantis said to clarify his opposition to the technology.

Read more: Why Crypto Became a Crucial Legislative Issue for the 2024 US Presidential Election

So why is the Florida governor so adamantly against CBDCs? DeSantis holds that the Federal Reserve will leverage the technology to further an anti-cash, anti-crypto strategy.

“They want to get rid of cash. They want no cryptocurrency. They want [CBDCs] to be the sole form of legal tender. It will allow them to prohibit undesirable purchases like fuel and ammunition,” DeSantis contended.

Hot Topic of the 2024 Presidential Election: CBDCs and Cryptos

As the 2024 election season heats up, CBDCs have become a focal point. Particularly within libertarian factions of the Republican Party, there are worries that these currencies could infringe upon Americans’ privacy rights.

Critics of CBDCs also argue they could give governments excessive control over personal spending.

DeSantis, speculating that the Fed might use a CBDC to limit purchases of items like fuel and ammunition, invoked American values in his critique of the technology. He stated CBDC proponents wish to impose a “social credit system” on the US and reiterated that “CBDC is a massive threat to American liberty.”

Read more: US Presidential Candidates Vie for Crypto Voters

However, DeSantis is not the sole presidential hopeful campaigning against CBDCs. Republican candidate Vivek Ramaswamy has also expressed opposition to the technology.

“Just like ESG [Environmental, Social, and Governance] came out of the 2008 financial crisis, central bank digital currencies are what is going to come out of this next one… This is likely where this is heading. It is a longer-term game to a disaster,” Ramaswamy said.

On the Democratic side, pro-Bitcoin candidate Robert F. Kennedy Jr. has labeled CBDCs “instruments of control and oppression, [that] are certain to be abused.”

Florida Bans Central Bank-Issued Digital Currency

DeSantis’s criticism of CBDCs is not new. As the Florida governor, he signed legislation banning CBDCs from being recognized as legal tender in May.

The presidential candidate has also urged other Republican-led states to introduce their own measures against CBDCs. In March, for example, he appealed to a coalition of 20 states to resist federal backing for the concept.

Read more: Who’s Better for Bitcoin: DeSantis or Kennedy Jr?

Regardless of next year’s election outcome, a clash over CBDCs appears imminent. Advocates and opponents of the technology are dispersed across states and different branches of the federal government. This ongoing conflict could set the stage for a major debate in 2024 and beyond.