Senator Warren Advocates Against Big Tech Issuing Stablecoins
Meta is exploring a return to the stablecoin market, facing regulatory scrutiny. U.S. Senator Elizabeth Warren emphasized that new legislation must prevent major corporations from issuing their own stablecoins.
- The GENIUS Act aimed at regulating stablecoins hit a setback in the Senate due to opposition from some Democrats.
- Warren stated that the act must be amended to block Big Tech from stabilizing their financial influence.
- Previously, Meta attempted to launch its stablecoin, Libra (now Diem), but it was halted by regulatory backlash.
- Meta's spokesperson confirmed that there are currently no plans for a stablecoin.
- The GENIUS Act could re-emerge for discussion in the Senate soon.
Binance and U.S. Treasury Scrutiny
- Warren, alongside other senators, questioned Treasury Secretary Scott Bessent regarding Binance's compliance with U.S. legal requirements following a previous settlement.
- Concerns were raised about Binance potentially easing oversight while increasing ties with World Liberty Financial, linked to former President Donald Trump.
- Senators highlighted Binance's past violations, including money laundering and sanctions issues, which are still under independent monitoring.