This marks the first time the Federal Reserve has been granted direct regulatory authority over stablecoins through federal legislation. The GENIUS Act creates unprecedented centralized control over digital currencies, establishing a framework that could enable government oversight of all digital transactions - a capability that hasn't existed in previous crypto regulations.
Warren Warns: GENIUS Act Gives Fed Control of Digital Currency
📰 What Happened
Senator Elizabeth Warren has criticized the recently passed GENIUS Act, signed by President Trump, which places stablecoins under Federal Reserve oversight. The bill, introduced by Republican Senator Bill Hagerty, establishes a regulatory framework for digital assets. Warren argues this 'industry-designed' legislation prioritizes crypto interests over public welfare, stating 'there's been a long, bipartisan tradition of helping out industry instead of doing what the American people have called for.'
📖 Prophetic Significance
The GENIUS Act's placement of stablecoins under Federal Reserve control represents a crucial step toward a centralized digital financial system. This combines three prophetically significant elements: federal banking oversight, digital currency control, and bipartisan support for centralized financial authority. The framework aligns with Revelation's predicted economic control system by creating official government infrastructure for digital currency oversight. Warren's warning about industry influence masks the deeper implications of government gaining regulatory power over digital transactions, potentially leading to the ability to monitor and control all financial activities.