Kari Lake, a far-right Republican who refused to concede her loss in Arizona’s 2022 gubernatorial election, is now running for the United States Senate. In the upcoming November election, she will face off against Democrat Ruben Gallego. Lake recently updated her campaign platform to include a focus on protecting the cryptocurrency economy.
Lake claims to be a “pro-crypto candidate” and supports some of Donald Trump’s statements advocating for Bitcoin as a defense against foreign adversaries. However, despite her pro-crypto stance, the crypto-backed political action committee Protect Progress has spent over $10 million to support Gallego’s Senate bid instead of Lake’s.
Gallego, a Representative of Arizona’s 3rd Congressional District, has voted in favor of the FIT21 Act and a resolution to overturn the Securities and Exchange Commission’s Staff Accounting Bulletin No. 121.
The outcome of races like Lake’s and Gallego’s could determine the control of the US Senate, potentially shifting it to Republicans starting in 2025. This is significant because the Senate has the authority to confirm presidential nominations to regulatory bodies like the SEC and pass bills from the House of Representatives.
Cointelegraph sent Lake 10 questions about her views on digital assets and blockchain technology. Here are her responses:
1. Stance on stablecoins: Lake believes that a minimal regulatory structure is best to ensure continued growth, experimentation, and economic creativity in the crypto industry. She thinks that regulating stablecoins like banks is excessive and unnecessary, but a reasonable framework of regulation could expand the investor field.
2. Support for CBDC: Lake does not support the development of a centralized digital dollar because she sees non-centralized digital currency as a defense against increasing government centralization.
3. Extending US-dollar dominance: Lake agrees that stablecoins could potentially extend US-dollar dominance and believes that the US should remain at the forefront of crypto markets to protect freedom and hedge against dollar devaluation.
4. Congress’s role in regulating DeFi: Lake believes Congress should have a very limited role, ensuring fair exchange under DeFi contracts.
5. SEC and CFTC oversight: Lake thinks the SEC and CFTC should primarily focus on preventing fraud and have limited authority in other areas.
6. Integration of cryptocurrency services by banks: Lake supports traditional banks offering cryptocurrency services and believes Congress should not over-regulate the process, especially in the early stages.
7. Personal ownership of cryptocurrencies: Lake personally owns a small amount of cryptocurrencies, which makes her open to hearing from both supporters and critics as she evaluates her investments and the market.
8. Future of cryptocurrencies and blockchain technologies: Lake believes Congress should play a limited role guided by industry experts as these technologies have the potential to transform the global economic landscape and eliminate barriers to free and fair trade.
9. Self-custody of digital assets: Lake supports individuals holding their own assets, barring fraudulent activity.
10. Importance of a candidate’s view on digital assets: Lake believes that digital assets are an essential and rapidly growing industry, and candidates who do not support their development are doing a disservice to the nation.
Overall, Lake’s stance on digital assets and blockchain technology aligns with a minimal regulatory approach and a focus on protecting the industry’s growth and potential.