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Elizabeth Warren plans to go after prediction markets and Trump family crypto businesses when she takes over Senate Banking
Summary
Sen. Elizabeth Warren plans to use the Senate Banking Committee to scrutinize prediction markets and the Trump family's crypto ventures when she becomes its chair in January, a Warren banking aide said Monday, according to The Block and Bitcoin Magazine.
Democrats took control of the Senate in last week's midterms, putting Warren, a longtime crypto critic, in charge of a committee that covers banks, housing, the Federal Reserve and crypto, the outlets reported.
The aide said Warren wants to end the "Wild West-style lack of oversight" in prediction markets, "with corrupt insiders profiting," according to The Block; Bitcoin Magazine attributed the aide's comments to a rundown published by Punchbowl News.
"Trump family crypto businesses" and others "should preserve their documents and prepare to answer tough questions," the aide said, per The Block.
Updates
- Update, : Update (Nov. 10): Decrypt, citing Politico and Reuters, reported that a Warren Banking Committee aide said Trump family crypto businesses, Wall Street executives and others "should preserve their documents and prepare to answer tough questions," and that Warren is likely to probe the OCC's conditional bank charter for World Liberty Financial. A White House spokesperson told Reuters that "sham investigations" would undermine cooperation, Decrypt said.
Key facts
- The Block: the aide said Warren will focus on affordability, artificial intelligence, prediction markets, a looming potential financial crisis and accountability.
- The Block: former Sen. Sherrod Brown is poised to lead the Senate Agriculture Committee and Rep. Maxine Waters the House Financial Services Committee, both key panels for crypto.
- The Block: Warren has asked in letters for an investigation into Trump's memecoin and an ethics probe into alleged conflicts tied to World Liberty Financial, the United Arab Emirates and Trump aides.
- Bitcoin Magazine: on Oct. 28, Warren and Sen. John Curtis, R-Utah, wrote to the CEOs of Kalshi and Polymarket asking how they stop candidates, campaign staff and others with material nonpublic information from trading election contracts.
- Bitcoin Magazine: Kalshi's head of enforcement told Business Insider the company proactively blocks candidates and campaign staff from trading; Polymarket did not respond to that request for comment.
- Bitcoin Magazine: Warren opposed the CLARITY Act market structure bill, which failed a Senate cloture vote 49-50 on Sept. 15.
- Decrypt: Warren is expected to take over the committee in January after Democrats won control of the Senate in last week's midterms.