Maxine Waters Critiques Crypto Bills

Democratic Rep. Maxine Waters has raised concerns about the GENIUS and Clarity crypto bills, warning they could lead to widespread fraud and financial hardship for millions of American families. In her recent op-ed for MSNBC titled 'My colleagues in Congress are making a mistake advancing these crypto bills,' she reiterated the importance of addressing the risks associated with pending crypto legislation. This week marks a pivotal moment for crypto legislation, as the House prepares to review these significant bills. With expectations that the Clarity Act may pass on Wednesday and the GENIUS stablecoin bill on Thursday, some predict that this 'Crypto Week' could culminate in a stablecoin bill reaching President Trump's desk. Waters points out that these bills contain insidious provisions that could legitimize unprecedented crypto corruption involving the president. Trump's ties to cryptocurrency, with estimates placing his ventures at $620 million, add urgency to her concerns. Moreover, Waters argues that these bills fail to adequately protect consumers. She claims the Clarity Act restricts the Securities and Exchange Commission's ability to proactively guard against fraud. She continues by stating, 'The GENIUS Act is no better. Supporters claim it offers essential protections for stablecoin users, yet it fails to provide sufficient funding for regulators, and its consumer protections are minimal.' The GENIUS Act aims to create comprehensive regulations for stablecoins, mandating full backing with U.S. dollars or equivalent liquid assets. Conversely, the Clarity Act seeks to enhance oversight of cryptocurrency markets by clarifying the responsibilities of the SEC and the Commodity Futures Trading Commission. This legislation would require crypto companies to disclose financial information to retail investors and ensure a separation between corporate and customer assets. Disclaimer: The Block is an independent media outlet focused on delivering news, analysis, and data on the crypto sector. As of November 2023, Foresight Ventures is a majority investor. This article is solely for informational purposes and should not be taken as legal, tax, or financial advice.