US Senator Elizabeth Warren (Democrat from Massachusetts) criticized the bill dedicated to stablecoin, which is under consideration of the Congress, writes RBC Crypto. She also accused US President Donald Trump of using legislation in her own financial interests.
We are talking about the Fit21 bill aimed at creating a regulatory framework for digital assets, including for stablecoins. And Elizabeth Warren for many years criticizes the cryptocurrency and legislative initiatives aimed at mitigating regulatory policy.
“This is the last scam of Donald Trump for the purpose of his own enrichment. Congress must make an effort and amend the current bill on stablecoins, which is under consideration by the Senate. Otherwise, this will facilitate Trump and Ilon Mask the task of obtaining control over your money, ”Warren wrote in X with reference to the message of the World Liberty Financial crypto project about the launch of his own Stableco -Wasd1.
World Liberty Financial is a crypto platform on which users can take and lend crypto assets, create liquidity pools and make transactions with stablecoins. As a control token, she uses WLFI. In the documents on the website of the Donald Trump project, it is indicated as “the main cryptocurrency defender”. His sons Eric and Donald Trump are the youngest are the “Web3 ambassadors”, and Barron wears the “Defi-visionary” title. The documents also indicate that none of the members of the Trump family, other affiliated persons and organizations is an official, director, founder, employee or operator of World Liberty Financial.
USD1 is a token tied at the rate of 1: 1 to the dollar and secured by the short -term treasury obligations of the United States, deposits in US dollars and other monetary equivalents. This is stated in the announcement of the project blog. Initially, USD1 tokens will be produced on Ethereum (ETH) and Binance Smart Chain (BSC) blockchains with expansion plans for other protocols in the future. Bitgo is indicated as cryptocurrency casteodian; Who will provide a service for storing dollar equipment is not indicated.
The topic of development of the market for stabilcoins based on the dollar has been promoted by US President Donald Trump since late January, when his first decree was signed after the inauguration “Strengthening the US leadership in digital finances”, where stablecoins were highlighted.
Trump Media (DJT) Media Companies also entered the cryptocurrency market, having concluded a partnership with one of the largest American crypto -rhizas Crypto.com for launching exchanges under the Truth.fi brand. Last week it was reported that the leaders of the Trump Media registered a specialized organization (Spac) called Renatus in the Kaiman Islands with the aim of acquiring cryptocurrency or blockchain companies.
All centralized stablecoins are similar to the type of USD1, as well as existing USDT and USDC, have a similar business model. The main income of the issuing company is received in the form of interest on US Treasury bonds, which are used as reserves providing emission. So, for example, at the end of January, the USDT issuer Tether reported on a record profit exceeding $ 13 billion, and the amount of assets providing released tokens reached $ 157.6 billion. Reserves in the US Treasury bonds increased to $ 113 billion, which made Tether one of the US State Jolly Increase in the world.
Warren’s statement occurs against the backdrop of the launch of stablecoins by various companies, and not just the World Liberty Financial project. So, for example, one of the largest capital management companies Fidelity Investments plans to launch its own stablecoin, reports Financial Times (FT). Investment companies, which controls assets of $ 5 trillion, “is at the advanced stage of testing” of his token.
“If they do it legitimate, we will deal with this business,” commented the US administration for the development of the Steabelcoin market General Director Bank of America Brian Minihan.
Some of the world’s largest banks and financial companies intend to compete with the business of the largest emitters of Tether and Circle stabilcoins, FT wrote in early March. Bank of America, Standard Chartered, PayPal, Revolut, Stripe and others intend to launch their own stable tokens to cover the cross -border payments market.
As the head of Tether Paolo Ardoino in X noted, a new era for stablecoins begins – hundreds of companies and governments will launch (or soon launch) their stable tokens.
“Today, Tether USDT, according to conservative estimates, has more than 400 million users around the world. One billion is soon, ”added Ardoino.
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Source: Cryptocurrency
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