{"id":10584,"date":"2025-04-02T22:24:36","date_gmt":"2025-04-02T20:24:36","guid":{"rendered":"https:\/\/wsj-crypto.com\/?p=10584"},"modified":"2025-04-02T22:24:36","modified_gmt":"2025-04-02T20:24:36","slug":"lawmaker-claims-trump-aims-to-substitute-us-dollar-with-his-own-stablecoin","status":"publish","type":"post","link":"https:\/\/wsj-crypto.com\/index.php\/2025\/04\/02\/lawmaker-claims-trump-aims-to-substitute-us-dollar-with-his-own-stablecoin\/","title":{"rendered":"Lawmaker Claims Trump Aims to Substitute US Dollar with His Own Stablecoin"},"content":{"rendered":"

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California Congresswoman Maxine Waters, the senior member of the US House Financial Services Committee, utilized her inaugural remarks at a markup hearing to denounce President Donald Trump\u2019s financial and ethical ties to the cryptocurrency sector, including the introduction of a stablecoin by a family-supported enterprise.<\/p>\n

While addressing legislators at an April 2 session, Waters stated<\/a> that Trump had exploited his role as president to capitalize on \u201cnumerous crypto projects\u201d for personal gain, including a US dollar-pegged stablecoin initiated by World Liberty Financial (WLFI) \u2014 the company supported by his family.<\/p>\n

The California representative highlighted Trump\u2019s memecoin that debuted in January, his ambitions to create a national cryptocurrency reserve, and \u201chis own stablecoin,\u201d referring to WLFI\u2019s USD1 token<\/a> launched in March.<\/p>\n

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Rep. Maxine Waters speaking to the House Financial Services Committee on April 2. Source: <\/em>GOP Financial Services<\/em><\/a><\/p>\n<\/figcaption><\/figure>\n

\u201cThrough this stablecoin legislation, this committee is establishing a dangerous and unacceptable precedent, sanctioning the president and his associates\u2019 attempts to devise regulations that will benefit themselves at the cost of everyone else,\u201d asserted Waters, adding:<\/p>\n

\u201cTrump is likely eager for the entire government to adopt stablecoins for transactions ranging from those conducted by the Department of Housing and Urban Development, to Social Security disbursements, to tax payments. And which coin do you believe Trump would want to substitute for the dollar? Naturally, his own.\u201d<\/p><\/blockquote>\n

Waters does not stand alone in her critique of Trump\u2019s cryptocurrency activities<\/a>, as numerous lawmakers and specialists from various political backgrounds suggest there could be conflicts of interest.<\/p>\n

Committee Chair French Hill, who addressed stablecoins prior to Waters, also reportedly remarked<\/a> that the Trump family\u2019s engagement in the sector complicates legislation.<\/p>\n

\u201cIf there is no movement to prevent the President of the United States from possessing his stablecoin business […] I will never be able to agree to support this bill, and I would urge other members to refrain from enabling,\u201d emphasized Waters.<\/p>\n

Related: <\/strong><\/em>Crypto faces a regulatory capture dilemma in Washington \u2014 Or does it?<\/strong><\/em><\/a><\/p>\n

Representative Bryan Steil, who put forth the Stablecoin Transparency and Accountability for a Better Ledger Economy, or STABLE Act, did not directly respond to Waters\u2019 apprehensions regarding Trump\u2019s stablecoin but alluded to creating protections for consumers.<\/p>\n

Hill did not reference Trump during his opening remarks but mentioned the necessity for a \u201cclear federal framework\u201d concerning payment stablecoins.<\/p>\n