#BSCProjectSpotlight

President Trump's Role in the Stablecoin USD1 Raises Regulatory Questions

A group of U.S. Senators, led by Elizabeth Warren, expressed concern about President Trump's reported relationships with the upcoming stablecoin USD1.

They argue that Trump's reported relationships with the project could allow him to influence federal regulators, including the Federal Reserve and OCC, in favor of the asset.

Senators asked the Federal Reserve and the Office of the Comptroller of the Currency to clarify how they plan to manage such risks, especially with the GENIUS Act lacking safeguards.

Group Led by Warren Points to Risks of Presidential Intervention in Approving USD1

On March 28, a group of lawmakers led by Senator Elizabeth Warren sent a letter to the Federal Reserve and the Office of the Comptroller of the Currency (OCC).

They requested both agencies to clarify how they plan to maintain the integrity of regulation regarding the upcoming stablecoin USD1.

The request comes as Congress considers the GENIUS Act, a bill that gives the Federal Reserve and OCC broad authority over the regulation of stablecoins.

"The President of the United States could sign legislation that facilitates the launch of his own product and then retain the authority to regulate his own financial company," they noted.