Senator Elizabeth Warren criticized the newly passed GENIUS Act, warning that it may lead to significant consequences for the American public. Signed by President Trump, the act aims to clarify legal frameworks around stablecoins but concerns Warren due to the crypto industry's significant lobbying influence on its creation. She emphasized the need for strong crypto regulations but cautioned against bills shaped by industry interests, drawing historical parallels to the Commodity Futures Modernization Act of 2000, which some believe contributed to the 2008 financial crisis. Warren expressed that allowing the crypto industry to write its own legislation could result in the American populace bearing the financial burden. She highlighted issues surrounding the safety and regulation of stablecoins, advising that while some firms may issue stablecoins responsibly, not all issuers will be sufficiently regulated to prevent potential financial instability. Furthermore, Warren reiterated her concerns about President Trump’s connections to the crypto sector, arguing that this poses risks of corruption.

Source 🔗