26-7-2025 – U.S. Senator Elizabeth Warren sharply criticized the cryptocurrency industry’s lobbying efforts, warning that they mirror the regulatory missteps that fueled the 2008 financial crisis. Speaking to Vanity Fair, Warren highlighted the Guiding and Establishing National Innovation for U.S. Stablecoins (GENIUS) Act, signed into law this month by President Donald Trump, as a product of the industry’s undue influence over Congress. She argues the legislation prioritizes crypto firms over consumer protections and financial stability.
Warren drew parallels to the 2000 Commodity Futures Modernization Act, which loosened oversight of derivatives and contributed to the 2008 economic collapse. She contends the GENIUS Act, designed to regulate stablecoins and encourage their integration into financial systems, lacks robust safeguards, risking fraud, market volatility, and systemic instability.
The senator also raised concerns about President Trump’s crypto ventures, including his USD1 stablecoin, alleging the act could amplify conflicts of interest. Critics of the GENIUS Act, including economics professor Sergi Basco, echo Warren’s concerns, warning that unstable digital assets could trigger bank runs or exacerbate economic downturns.
