Senator Elizabeth Warren has criticized the recently passed GENIUS Act, asserting that the American public will incur the consequences of what she views as flawed legislation. Signed into law by President Donald Trump, the act aims to regulate stablecoins and has garnered significant crypto industry interest. In an interview, Warren expressed the need for comprehensive crypto legislation but cautioned against allowing the crypto sector to draft laws benefiting its interests. She drew parallels to the Commodity Futures Modernization Act of 2000, which is perceived to have contributed to the 2008 financial crisis due to inadequate regulation of over-the-counter derivatives. Warren highlighted the excessive lobbying from the crypto industry, stating it has allowed the sector to write its own legislation, enriching a select few while risking the financial well-being of the broader public. Her comments echo concerns from economists regarding the stability of stablecoins and the potential for financial instability similar to past crises.

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