Senator Warren Warns Against Potential Loopholes in Crypto Regulation Bill

According to BlockBeats, U.S. Senator Elizabeth Warren has expressed concerns over a proposed bill aimed at regulating the cryptocurrency market, warning that it could allow public companies to bypass U.S. securities laws. During a Senate Banking Committee hearing on Wednesday regarding crypto market structure legislation, Warren, a senior member of the committee, voiced her support for digital asset regulation that strengthens the U.S. financial system. However, she raised significant concerns about the House's Digital Asset Market Transparency Act, known as the CLARITY Act. Warren highlighted that the bill might enable "non-crypto companies" to evade oversight by the U.S. Securities and Exchange Commission (SEC) through asset tokenization. Under the House's proposal, publicly traded companies like Meta or Tesla could potentially circumvent SEC regulation by placing their stocks on the blockchain.