Representatives Maxine Waters (D-CA) and Stephen Lynch (D-MA) are launching a new initiative called “Anti-Crypto Corruption Week” in response to the ongoing push by Republicans to advance key crypto legislation in the “Crypto Week.”
Anti-Crypto Corruption Week
The two Democratic lawmakers aim to rally support against a series of bills they argue would pave the way for financial corruption, particularly concerning former President Donald Trump’s involvement in the crypto market.
Per Eleanor Terrett’s report, their opposition is aimed at three significant pieces of legislation: the GENIUS Act, the CLARITY Act, and the Anti-CBDC bill.
Opposition to the GENIUS Act
One of the main targets of the Democrats’ initiative is the GENIUS Act. Introduced by Senator Bill Hagerty (R-TN), the bill seeks to provide a clear regulatory framework for the issuance of payment stablecoins.
These stablecoins, pegged to a stable currency such as the U.S. dollar, are currently used in the U.S. with minimal federal oversight. Supporters argue the bill prioritizes consumer protection and encourages innovation while bolstering the U.S. dollar’s global dominance.
The GENIUS Act passed the U.S. Senate by a bipartisan vote of 68-30 in June 2025.
However, Waters and Lynch express concern that the bill could create new opportunities for financial manipulation, particularly benefiting Trump and his allies. They argue that the bill may legitimize Trump’s ongoing involvement in the crypto market, a sector they view as rife with potential for fraud.
The two lawmakers fear that further financial corruption could be fueled through such legislation, as they claim it would open the door for foreign investments in Trump’s crypto dealings, potentially resulting in conflicts of interest.
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The CLARITY Act and Digital Asset Regulation
Another key piece of legislation targeted by the Democrats is the CLARITY Act, which was introduced on May 29, 2025, by Representatives French Hill (R-AR) and G.T. Thompson (R-PA). This bill aims to establish a clear and functional regulatory framework for digital asset markets.
According to its proponents, the CLARITY Act is designed to protect consumers while fostering innovation in the digital asset space. The bill has already gained bipartisan support, advancing out of both the House Financial Services Committee and the Agriculture Committee in June 2025.
The CLARITY Act has garnered attention due to its focus on closing regulatory gaps in the digital asset market. By providing clarity, the bill aims to address the ongoing regulatory ambiguity that many perceive as hindering innovation.
While its backers argue it promotes financial stability, Waters and Lynch counter that the bill could enable massive crypto fraud. They warn that the bill could make it easier for crypto-related activities to thrive without sufficient oversight, leading to potential risks for consumers.
Anti-CBDC Bill and Concerns Over Financial Privacy
In addition to the GENIUS Act and the CLARITY Act, Waters and Lynch are also focusing on the Anti-CBDC Surveillance State Act. Sponsored by House Majority Whip Tom Emmer (R-MN), this bill seeks to prohibit the creation of a central bank digital currency (CBDC) in the U.S.
A CBDC is a government-controlled digital currency that could track individual transactions. Critics of the bill argue that such a currency could pose risks to Americans’ financial privacy.
Waters and Lynch have raised concerns that, while the GOP opposes a government-backed digital currency, they are supporting legislation linked to crypto projects that could involve Trump. This contradiction, according to the Democrats, is an example of Republican hypocrisy, with the GOP prioritizing political interests over the broader goal of protecting consumers.
Meanwhile, the push for the Anti-CBDC bill also highlights the tensions surrounding the control of digital money in the U.S. financial system.
