Straight Up Scoop: Senator Liz Warren Sounds Alarm on Trump-Linked Crypto Deal
Senator Warren Questions $2B Trump-UAE Deal, Expresses Reservations Regarding Senate Cryptocurrency Legislation
America's changemaker senator, Elizabeth Warren, has taken to Twitter to slam a $2 billion deal linked to President Trump and the UAE, warning of potential corruption if the Senate passes new crypto legislation.
In her tweet on Monday, Warren accused the deal, backed by a stablecoin issued by World Liberty Financial, as "shady" and a means for "corruption." The United Arab Emirates firm, MGX, involved in this crypto exchange partnership, is backed by Abu Dhabi's sovereign wealth.
Trump has previously defended his crypto push, claiming it's a race against China and expressing hopes that millions of American supporters are in favor despite initial opposition from the Biden administration.
World Liberty's stablecoin, USD1, is expected to serve as the settlement currency for MGX's massive investment into Binance, the global crypto exchange. This move has raised Warren's eyebrows and spurred concerns about conflict of interest and potential abuse.
In a video-interview with Meet the Press, Warren confronted Trump on whether he or his family are profiting from the crypto industry, to which Trump responded, "I haven't even looked."
Stablecoin Bill Faces Resistance
Warren's warning comes amid the debate surrounding the GENIUS Act, a bill designed to establish the first U.S. regulatory framework for stablecoins. According to Warren, the bill, led by Sen. Bill Hagerty (R-TN), could facilitate Trump's corruption if passed without adequate safeguards.
The bill, which passed the Senate Banking Committee in March with bipartisan support, is expected to face a floor vote this week. However, recent reports suggest that Senate Democrats are rallying against the bill in its current form, with a joint statement stating that it still needs critical updates, such as addressing national security risks and enforcing oversight on foreign issuers.
Warren had previously attempted to amend the bill to impose oversight on foreign firms and prohibit stablecoins used in crimes, but her proposals were defeated. If the bill is not reformed, Warren warns, it could enable a sitting president like Trump to personally profit from instruments used by foreign governments.
In her perspective, Trump has turned his Presidency into a 'grift' to make more money for himself while compromising the economy for the rest of us.
Last month, Warren accused Trump of exploiting crypto legislation for personal gain, arguing that Congress is paving the way for the President and other influential figures like Elon Musk to seize control of the public's money.
As the crypto world evolves, it seems the battle lines are being drawn in Washington D.C. Stay tuned for more updates as this story unfolds.
Originally penned by Sebastian Sinclair
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- Senator Elizabeth Warren has expressed concerns about a potential conflict of interest and abuse raised by a $2 billion deal linked to President Trump, involving a stablecoin issued by World Liberty Financial.
- The stablecoin, USD1, is expected to serve as the settlement currency for MGX's massive investment into Binance, a global crypto exchange, which has drawn Warren's scrutiny.
- The United Arab Emirates firm, MGX, involved in this crypto exchange partnership, is backed by Abu Dhabi's sovereign wealth.
- In a video-interview with Meet the Press, Warren accused Trump of potentially profiting from the crypto industry, to which Trump responded he hadn't even looked.
- Warren's warnings come amid the debate surrounding the GENIUS Act, a bill designed to establish the first U.S. regulatory framework for stablecoins.
- Senate Democrats are rallying against the GENIUS Act in its current form, arguing that it needs critical updates, such as addressing national security risks and enforcing oversight on foreign issuers.
- Warren attempted to amend the bill to impose oversight on foreign firms and prohibit stablecoins used in crimes, but her proposals were defeated.
- If the bill is not reformed, Warren warns, it could enable a sitting president like Trump to personally profit from instruments used by foreign governments.
- In Warren's opinion, Trump has turned his Presidency into a 'grift' to make more money for himself while compromising the economy for the rest of us, which she has previously accused him of doing with crypto legislation.
