Rep. Waters Warns Pending US Crypto Bills Risk Fraud, Financial Ruin

Rep. Maxine Waters has strongly criticized pending crypto legislation, specifically the CLARITY Act and GENIUS Act, warning these bills could lead to increased fraud, weaken investor protections, and benefit industry insiders, including President Donald Trump and his family who have active crypto ventures. Waters argues these bills would undermine the Securities and Exchange Commission's regulatory authority and pose national security risks through stablecoin usage, potentially leading to a crypto financial crisis. Supporters of the legislation emphasize that clear regulatory frameworks for stablecoins and digital assets are necessary to foster innovation, consumer protection, and U.S. leadership in the crypto sector. Michael Zuccarelli, a crypto industry figure, praised the proposed stablecoin regulation as a positive step for consumer safety and bipartisan progress, aligning with Trump's supportive stance on crypto innovation. The debate highlights a broader tension in U.S. policy between stricter oversight under previous administrations and the current more permissive approach favoring industry growth, with implications for both domestic markets and global regulatory norms. Lawmakers continue to push for measures to prevent conflicts of interest involving the president and his family, though legislative progress remains slow.