Senator Elizabeth Warren criticized the recently passed GENIUS Act, suggesting that the American populace would bear the consequences of this new cryptocurrency legislation. While acknowledging the importance of establishing strong regulatory frameworks for crypto, she expressed concern over the industry's influence in Washington, claiming it resulted in legislation that benefits only a select few. Warren drew historical parallels between the GENIUS Act and the Commodity Futures Modernization Act of 2000, which some argue contributed to the 2008 financial crisis by allowing over-the-counter derivatives to go largely unregulated. She raised alarms that similar patterns are occurring with cryptocurrency legislation, warning that the industry's lobbying efforts have become unprecedented. Warren emphasized that if the government prioritizes corporate interests, it will lead to wealth concentration among a few while the general public faces the repercussions. Her comments echo concerns from economists regarding the stability and safety of private issuers of stablecoins, highlighting potential systemic risks that could arise from inadequate regulatory oversight. Overall, Warren calls for thorough consideration and better policies to protect consumers and ensure market integrity in the evolving cryptocurrency landscape.

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