Binance Under Scrutiny as Elizabeth Warren Opposes GENIUS Act Over Trump-Linked USD1 Stablecoin

Senator Elizabeth Warren has strongly criticized the GENIUS Act, raising concerns about illicit profit mechanisms tied to former President Donald Trump’s USD1 stablecoin. The controversy stems from a $2 billion Binance transaction involving World Liberty Financial and UAE-based MGX, which allegedly manipulated USD1’s market position. This development highlights ongoing regulatory challenges in the cryptocurrency space.

Elizabeth Warren Opposes GENIUS Act Over Trump-Linked USD1 Stablecoin Concerns

Senator Elizabeth Warren has launched a vehement critique of the GENIUS Act, citing illicit profit mechanisms tied to former President Donald Trump’s USD1 stablecoin. The opposition follows revelations of a $2 billion Binance transaction involving World Liberty Financial and UAE-based MGX, which artificially inflated USD1’s market position.

The deal’s structure—using USD1 as a transactional vehicle—has drawn scrutiny for potentially circumventing financial regulations. Warren’s objections have galvanized Senate resistance, forcing the bill to face a critical House vote amid growing political headwinds.

Market observers note the incident underscores regulatory vulnerabilities in stablecoin adoption. While USD1 isn’t among major tracked cryptocurrencies, the controversy highlights how niche digital assets can become vectors for systemic risk when Leveraged in large-scale institutional deals.

VanEck Files for First U.S. Spot BNB ETF, Signaling Institutional Crypto Expansion

VanEck, a $110 billion asset manager, has submitted an S-1 registration to the SEC for a spot Binance Coin ETF—the first such filing for BNB in the United States. The proposed fund would provide indirect exposure to the exchange-linked token without requiring direct custody.

The move follows a wave of altcoin ETF applications as traditional finance firms increasingly bridge digital asset markets. While Bitcoin and Ethereum products dominate current offerings, VanEck’s filing suggests institutional interest in exchange-affiliated tokens may be growing.