Senator Elizabeth Warren has criticized the recently passed GENIUS Act, claiming it will negatively impact the American public. Despite acknowledging the necessity for comprehensive crypto legislation, she condemned the way the bill reflects crypto industry lobbying, suggesting it enables the industry to craft its own regulations. Warren drew parallels with the Commodity Futures Modernization Act of 2000, which some analysts believe contributed to the 2008 financial crisis due to insufficient regulation of over-the-counter derivatives. She argued that the GENIUS Act similarly offers a false sense of security regarding stablecoins, warning that unregulated stablecoins might lead to financial instability. In her interview, Warren voiced concerns over how massive lobbying efforts from the crypto sector have resulted in legislation that favors a few wealthy individuals at the expense of the broader public, reiterating her long-standing wariness of crypto assets and their potential misuse by large corporations. Overall, her remarks highlight a cautionary stance towards rapidly advancing crypto regulations without adequate oversight.

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