Senator Warren writes to Becerra and Powell, opposing the use of taxpayer funds to "bail out" the cryptocurrency industry

According to Cointelegraph, Senate Banking Committee senior member Elizabeth Warren has written to Treasury Secretary Scott Basset and Federal Reserve Chairman Jerome Powell, urging the government not to use taxpayer funds to bail out the cryptocurrency industry.

In her letter, Warren warned that any form of bailout would mean "transferring wealth from American taxpayers to cryptocurrency billionaires," which is not only "extremely unpopular" but could also directly benefit President Trump and his family's cryptocurrency project, World Liberty Financial.

The letter comes at a time when the price of Bitcoin has fallen over 50% from its historical highs, reaching a local low of $60,000. On the same day, World Liberty Financial held its first "World Liberty Forum" at Mar-a-Lago, inviting several executives from the cryptocurrency industry and policymakers who support cryptocurrencies to attend.

Warren also referenced the Financial Stability Oversight Council hearing on the 4th of this month, pointing out that Secretary Basset had "avoided core concerns" when responding to questions about a bailout for Bitcoin.

She emphasized that the government should not intervene in the Bitcoin market through direct purchases, guarantees, or liquidity tools, to avoid "making cryptocurrency billionaires the biggest beneficiaries of a bailout."