Democratic Representative Maxine Waters has once more voiced her concerns over the GENIUS and Clarity cryptocurrency bills. In a recent opinion piece, she argued these bills could potentially unleash widespread fraud and economic devastation for countless American households.
In her op-ed entitled “My colleagues in Congress are making a mistake advancing these crypto bills” published on MSNBC, Waters warned again about the looming dangers of the soon-to-be-discussed crypto legislation.
This week is expected to be pivotal for crypto legislation as the House is set to deliberate on two major crypto bills. Many anticipate this could result in a stablecoin bill landing on former President Donald Trump’s desk by the end of the week. Insiders predict the Clarity Act to pass on Wednesday, with the GENIUS stablecoin bill to follow on Thursday.
With “Crypto Week” around the corner, Waters pointed out that both bills carry a “deliberate and specific nuance.” She argues they would “sanction and legalize the unprecedented crypto corruption by the president of the United States.”
Trump’s association with cryptocurrency has been a central issue for Democrats regarding both bills. Bloomberg estimates that cryptocurrency endeavors account for roughly $620 million of Trump and his family’s wealth.
Waters further contended that the bills fail to safeguard consumers. She stated, “The CLARITY Act restrains the Securities and Exchange Commission, preventing it from actively guarding people against fraud.”
She added, “The GENIUS Act is equally problematic. Its proponents claim it will offer urgently necessary protections for stablecoin users, but it doesn’t allocate funds to regulators for the law’s implementation, and its consumer protections are weak.”
The GENIUS Act, which has already passed the Senate, proposes comprehensive stablecoin regulations demanding full backing by U.S. dollars or equivalent liquid assets. Clarity, meanwhile, proposes a wider regulatory scope for cryptocurrency markets, defining the oversight responsibilities of the SEC and the Commodity Futures Trading Commission. Under this law, crypto firms would be compelled to provide retail financial disclosures and maintain separation between corporate and client assets.
