Meta Considers Tokens While Senator Warren Urges Halt on Big Tech Stablecoins

Tech titan Meta (META) has reportedly been exploring the possibility of a return to the stablecoin market, having previously faced backlash from U.S. regulators regarding its earlier efforts. U.S. Senator Elizabeth Warren conveyed to CoinDesk that the forthcoming legislation governing stablecoins should ensure such explorations are not permitted.

A significant crypto bill aimed at establishing U.S. regulations for stablecoins like Tether’s USDT and Circle’s USDC faced recent obstacles in the Senate. Democrats, including some initial supporters, have voiced opposition, halting the bill’s progress this week. Warren stated that the Guiding and Establishing National Innovation for U.S. Stablecoins (GENIUS) Act must be revised to prevent large corporations from creating their own currency. “The Senate must amend the GENIUS Act to prohibit Big Tech companies and other commercial giants from owning or partnering with stablecoin entities,” the Massachusetts Democrat emphasized. “No Senator should approve measures that enable Big Tech to intrude on our financial transactions or hinder small businesses and political opponents from accessing the payment system.”

Meta previously attempted to launch its own crypto stablecoin, Libra (later renamed Diem), nearly realizing this goal before encountering significant pushback from various regulators and lawmakers. Warren argued that Meta’s CEO, Mark Zuckerberg, is attempting to reenter this market and called upon him “to clarify to Congress whether this is yet another effort to control the American public’s finances.”

When asked for a response to Warren’s comments, Meta referred CoinDesk to statements made by communication director Andy Stone on social media, noting that “Diem is ‘dead.’ There is no Meta stablecoin.”

The GENIUS Act is currently under negotiation, with some lawmakers optimistic about its potential return to the Senate floor as early as next week. A corresponding version is also progressing through the House of Representatives.

Warren, who serves as the senior Democrat on the Senate Banking Committee, has been actively scrutinizing the crypto sector. She recently joined her colleagues to question Treasury Secretary Scott Bessent and Attorney General Pam Bondi regarding their interactions with Binance, as the exchange works to resolve its U.S. legal disputes stemming from a settlement in 2023.

Five Democratic senators—including Richard Blumenthal, Chris Van Hollen, Mazie Hirono, and Sheldon Whitehouse—sent a letter to the officials inquiring about Binance’s communications with the U.S. government as the exchange enhances its ties with World Liberty Financial, a crypto firm associated with President Donald Trump and his family. “As the administration relaxes oversight in an industry where bad actors have breached money laundering and sanctions laws, it is unsurprising that Binance, which has acknowledged prioritizing its own growth over adherence to U.S. legislation, would seek to loosen the requirements established by its settlement,” they stated in the letter, highlighting Binance’s obligations stemming from its previous admissions of guilt on various charges, including money-laundering and sanctions violations, for which it continues to be monitored by independent auditors.

“Our concerns regarding Binance’s compliance responsibilities are heightened, particularly given recent reports suggesting that the company is utilizing the Trump family’s stablecoin to form partnerships with foreign investment firms,” the senators remarked.

Spokespeople for Binance did not respond immediately to requests for comment.
UPDATE (May 9, 2025, 21:16 UTC): Adds response from Meta.