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Crypto Clash: Warren Flags Economic Risk, CZ Defends Industry
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Crypto Clash: Warren Flags Economic Risk, CZ Defends Industry
Jul 17, 2025 6:04 AM

Senator Elizabeth Warren once again warned about crypto, claiming that it poses a serious risk to the U.S. financial system and that Big Tech could exploit it.

However, former Binance CEO Changpeng Zhao (CZ) has responded, saying that all companies, not just the  New York Stock Exchange (NYSE), drive the U.S. economy.

CZ Says NYSE Isn’t the Whole Economy

During a July 17 interview with Bloomberg, Warren criticized the GENIUS and CLARITY Acts, arguing they fail to address “Trump’s corruption” and do little to prevent bad actors from exploiting crypto.

“They also don’t put enough safeguards in place for consumer protection to make sure that terrorists and human traffickers, and drug traffickers can’t use the system and guardrails to make sure that crypto isn’t used to blow up our entire economy,” commented the lawmaker.

Specifically, Warren raised concerns over a provision in the CLARITY Act that could allow large companies like Amazon and Meta to sidestep SEC oversight by “digitizing themselves.” According to her, such gaps could enable these parties to use crypto in ways that might affect the NYSE.

Zhao questioned this view, saying, “She wants to limit US companies (Amazon, Meta, GE) to protect the US economy / NYSE?”

He pushed back on the idea that the NYSE represents the broader economy, pointing out that its just one company, wholly owned by ICE, with a market cap of around $100 billion. On the other hand, Amazon alone is valued at $2.4 trillion.

“NYSE ≠ economy, argued Zhao. All companies = economy.

“Superhighway of Crypto Corruption”

Warren has consistently criticized the proposed cryptocurrency bills, which she argues could enable corruption tied to the Trump familys crypto ventures. During a recent Senate hearing, the Democrat urged Congress to implement stricter regulations on digital assets.

She referred to his businesses, including the USD1 stablecoin and the TRUMP memecoin, as a “superhighway of crypto corruption,” alleging they’ve become major sources of his wealth.

Trump reported incomes exceeding $57 million from World Liberty Financial, the firm behind USD1. According to Chainalysis, the President and his associates have also pocketed more than $320 million in fees alone from the TRUMP meme coin.

Warren had encouraged Congress to delay or reject the GENIUS and CLARITY Acts unless they include Anti-money laundering rules, sanctions enforcement, and prohibitions on public officials profiting from crypto.

She seemed to have been getting her way yesterday, after a dispute over whether the bills explicitly ban central bank digital currencies temporarily derailed a procedural motion to bring them to the floor of the House for debate.

However, President Trumps intervention secured the support of several rebellious GOP lawmakers, allowing the vote to pass today, 217 to 212. According to journalist Eleanor Terrett, GENIUS will now get a vote tomorrow, with CLARITYs possibly coming next week.

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