Tensions rose during a joint House hearing as Representative Maxine Waters strongly objected to a new crypto market structure bill. The legislation, backed by both Republicans and Democrats, aims to define oversight responsibilities in the digital asset sector. Waters, however, described the bill as part of what she called US President Donald Trump’s “crypto corruption.”
Maxine Waters Objects Crypto Market Structure Bill
A heated debate broke out during a joint hearing between the House Financial Services Committee and the House Agriculture Committee. Representative Maxine Waters voiced strong disapproval of the new crypto market structure bill. She criticized the bill’s timing and intent, urging fellow Democrats to walk out of the session in protest.
The crypto market structure bill has received bipartisan support, yet Waters argued it could enable unethical financial schemes tied to Donald Trump. “This bill paves the way for what I call Trump’s crypto corruption,” she said during the hearing. Her comments came as lawmakers from both parties continue to work on legislation aimed at bringing clarity to digital asset regulations.
Waters’ protest comes just as the GENIUS Act (Guiding and Establishing National Innovation for US Stablecoins) was preparing to move forward in the Senate. Nine Democratic senators have now voiced their opposition to the bill in its current form. They called for stronger measures on money laundering, foreign influence, and national security.
Democrat Senators Withdraw Support for GENIUS Act
The group of senators that withdrew support includes Ruben Gallego, Andy Kim, Lisa Blunt Rochester, and Mark Warner. These lawmakers previously backed the bill during its advancement in the Senate Banking Committee. However, their new statement said the legislation needs more protections.
Senator Elizabeth Warren also withdrew her support, raising concerns over a potential financial benefit to Donald Trump through a linked stablecoin. Warren stated, “This legislation risks giving Trump an illegal windfall from his USD1 coin,” as she urged others in Congress to reject it.
Democratic co-sponsors Kirsten Gillibrand and Angela Alsobrooks have not signed onto the new statement. Still, the act’s future remains uncertain, with increasing concern over the involvement of private business interests.
Donald TRUMP Meme Coin Contest Raises Ethics Questions
Despite growing objections to the GENIUS Act and the crypto market structure bill, Donald Trump continues to promote a cryptocurrency-linked event. A dinner at Trump National in Washington, D.C., will take place later this month. Entry to the event is based on holdings of the $TRUMP meme token, and the top 220 token holders will be invited.
The event has raised ethical concerns from watchdog groups. Accountable.US described the contest as a “corrupt self-enrichment scheme,” warning that it allows wealthy or foreign actors to buy access to US President Donald Trump. The website hosting the contest also features a live leaderboard, showing top participants by token holdings.
The $TRUMP token’s developers are reportedly connected to World Liberty Financial, a crypto firm with ties to the Trump family. In addition, Zach Witkoff, son of Trump’s envoy Steve Witkoff, announced at a Dubai crypto event that a UAE-backed fund will invest $2 billion in the USD1 stablecoin, which is competing with Tether. USD1 is issued by World Liberty Financial, which is 60% owned by a Trump business entity.
In the joint meeting, critics including Stephen F. Lynch, the Representative from Massachusetts argue that the deal opens the door for foreign financial influence calling it “Shady”. The Trump family is entitled to 75% of revenue from USD1 token sales which has led to questions about how the crypto market structure bill and the GENIUS Act may benefit private entities over public interest.
The post Rep Maxine Waters Slams Crypto Market Structure Bill Calls It Donald Trump’s “Crypto Corruption” appeared first on CoinGape.
