Senators Question Meta’s Digital Currency Intentions
With the GENIUS Act—a proposed bill to regulate payment stablecoins—set for debate in the U.S. Senate, lawmakers are pressing Meta CEO Mark Zuckerberg on whether the tech giant is planning to re-enter the stablecoin market.
In a formal letter sent Wednesday, Senators Elizabeth Warren and Richard Blumenthal demanded that Zuckerberg clarify any involvement Meta may have had in shaping the GENIUS Act, including consultations with outside parties or influence on the bill’s language.
“It is more critical than ever that Congress and the public fully understand the extent of Meta’s plans,” the senators wrote, citing Meta’s history with Libra and Diem, its earlier stablecoin projects that were ultimately shelved under regulatory pressure.
Concerns Over Regulatory Loopholes and Consumer Privacy
One of the primary concerns outlined in the letter is a potential waiver provision in the GENIUS Act, which could allegedly allow Meta to bypass regulatory requirements other stablecoin issuers must follow. This exemption, according to the senators, may come through executive discretion—a clause that President Trump could theoretically invoke if re-elected.
“If Meta controlled its own stablecoin, the company could further pry into consumers’ transactions and commercial activity,” the letter warned.
Lawmakers argue that a Meta-issued digital currency would give the company access to sensitive financial data, potentially enabling surveillance-based pricing models or more invasive targeted advertising, further extending its monetization of user behavior.
No Meta Stablecoin—For Now
Despite growing speculation, a Meta spokesperson publicly denied the existence of any current stablecoin project, stating on May 8 that “there is no Meta stablecoin.” However, recent reports suggest the company is exploring stablecoin integrations into platforms like Instagram, WhatsApp, Threads, and Messenger, possibly using third-party tokens like USDC or USDT.
The lack of transparency has prompted calls for more public accountability as Meta’s digital payments strategy evolves.
GENIUS Act Gains Momentum in the Senate
The GENIUS Act advanced in the Senate on Wednesday, with 68 senators voting to invoke cloture. This move clears the way for further debate and amendments, increasing the likelihood of the bill reaching a full vote.
Meta’s role in the evolving digital currency space may hinge on the final shape of this legislation.
As the bill moves forward, regulatory clarity and corporate influence will remain under intense scrutiny.