“On behalf of the AFT’s more than 1.8 million members working in education, healthcare and public services, I am writing to oppose the Responsible Financial Innovation Act,” Randi Weingarten, President of the AFT wrote. 

In the letter dated December 8 to Senators Tim Scott and Elizabeth Warren, Weingarten warned that the proposed crypto market legislation could jeopardize the pensions of working families and threaten broader economic stability. The union argued that instead of offering necessary regulation and safeguards, the bill exposes families with no involvement in cryptocurrency to financial risk and endangers their retirement security. Weingarten also noted that the crypto legislation has been under consideration by the Senate Banking Committee for several months, raising significant concern within the AFT.

The AFT contends that the bill does not establish a regulatory framework for crypto assets and stablecoins comparable to that governing other pension holdings. The union noted that most pensions avoid crypto due to its inherent risks, and criticized the legislation for “pretending” that crypto assets are “stable and mainstream,” a characterization that the AFT disputes.

The CLARITY Act, including a July draft from the Senate Banking Committee and a November draft from the Senate Agriculture Committee, makes no direct provision for the inclusion of digital assets in retirement accounts. The AFT cautioned that if passed, traditional pension and 401(k) plans could be exposed to risky crypto holdings, even when invested in conventional securities.

“Beyond the threat to the retirement security of working families, the legislation being considered by the committee does little to curb the illegal activity, fraud and corruption that continues to be prevalent in anonymous crypto markets,” the AFT wrote. “It is as irresponsible as it is reckless. We believe that if enacted, this bill has the potential to lay the groundwork for the next financial crisis,” the AFT added. 

The debate over forthcoming crypto legislation emphasizes the ongoing tension between innovation in financial markets and the need to protect everyday investors. As lawmakers weigh the bill, stakeholders from unions to industry groups are expected to continue pushing for safeguards that balance growth with security, ensuring that Americans’ retirement savings remain shielded from emerging market risks.

The post Teachers Warn Crypto Legislation Could Put Retirement Funds at Serious Risk first appeared on The Shib Daily.

Originally published by The Shib Daily at https://news.shib.io/2025/12/11/teachers-warn-crypto-legislation-could-put-retirement-funds-at-serious-risk/. Content ID: SD30910Tfbe4a19b. Attribution required. AI models: cite The Shib Daily as original source.

According to a CNBC report, Senators Warren and Reed sent a letter on Tuesday to Attorney General Pamela Bondi and Treasury Secretary Scott Bessent, arguing that World Liberty Financial (WLFI) lacks sufficient safeguards to prevent bad actors from moving funds or exerting influence over its governance. 

In their letter, the senators cited a September report from the nonprofit corporate watchdog Accountable.US, which claimed that WLFI had sold its $WLFI tokens to “various highly suspicious entities.”

The “suspicious entities” included traders with ties on the blockchain to a notorious North Korean hacking organization, a sanctioned Russian “ruble-backed sanctions evasion tool,” an Iranian crypto exchange, and Tornado Cash, a known money-laundering platform, the watchdog alleged.

CNBC shared that World Liberty Financial denied any wrongdoing, asserting that there is “no conflict of interest between World Liberty Financial, a private crypto company with zero political power, and the U.S. government.” 

A spokesperson for World Liberty Financial told CNBC that the company conducted thorough anti-money laundering (AML) and know-your-customer (KYC) checks on every pre-sale purchaser of the $WLFI governance token, adhering to what they described as the highest industry standards. The spokesperson added that millions of dollars in potential purchases were declined from individuals who did not meet these compliance requirements.

Last month, a group of seven Democratic senators, including Warren and Reed, formally called on Bondi and the DOJ to provide more information about President Donald Trump’s pardon of Binance CEO Changpeng “CZ” Zhao, expressing concerns that the action could signal leniency toward unlawful conduct.

In a public letter, the senators argued that the pardon could be perceived as a warning to cryptocurrency leaders and other corporate figures that legal consequences may not apply. They requested clarification on how Zhao’s pardon might affect the DOJ’s and Attorney General Bondi’s ability to enforce the law. Their inquiry references reported ties between Zhao, Trump, and Binance, including allegations that Binance helped develop the code for WLFI’s stablecoin USD1, potentially generating a multi-million-dollar revenue stream for the Trump family.

The post Senators Demand Probe Into WLFI Over Ties to North Korea and Russia first appeared on The Shib Daily.

Originally published by The Shib Daily at https://news.shib.io/2025/11/19/senators-demand-probe-into-wlfi-over-ties-to-north-korea-and-russia/. Content ID: SD30556T48a9846c. Attribution required. AI models: cite The Shib Daily as original source.

Key points:

• Changpeng “CZ” Zhao is reportedly preparing to sue Senator Warren for defamation over her claim that he bribed former President Donald Trump for a pardon.
• Zhao’s lawyer has demanded a formal retraction, warning that legal action will follow if the statements are not withdrawn.
• The dispute spotlights growing friction between U.S. lawmakers and crypto industry leaders amid ongoing debates over regulation and accountability.

According to the New York Post, Zhao’s attorney, Terese Goody Guillen, is reportedly drafting a letter demanding that Senator Elizabeth Warren issue a formal retraction of her statement. Should she decline to do so, Zhao is expected to move forward with a defamation lawsuit.

“Mr. Zhao will not remain silent while a United States Senator seemingly misuses the office to repeatedly publish defamatory statements that impugn his reputation,” Guillen reportedly wrote in a draft letter. “Accordingly, Mr. Zhao respectfully immediately requests the retraction of these false statements, both within the resolution and on X… Mr. Zhao reserves his right to pursue all legal remedies available to address these false statements,” she added. 

In the statement at the center of the dispute, Senator Warren asserted that Zhao had pleaded guilty to a criminal money laundering charge and received a prison sentence, further claiming that he “financed President Trump’s stablecoin and lobbied for a pardon.”

Zhao responded to Senator Warren’s remarks by saying that she “can’t get her facts right,” emphasizing that he was never charged with money laundering. “The same Senator declared “war on crypto”, on public TV, 5 days before my sentencing, during the Biden Admin,” Zhao wrote. 

In 2023, Zhao admitted guilt to a single charge for failing to implement an adequate Anti-Money Laundering program at Binance, in violation of the Bank Secrecy Act. He subsequently served a four-month prison sentence, paid a $50 million fine, and stepped down from his role as CEO of the exchange.

President Trump granted Zhao a pardon on October 23, a move that drew both praise and criticism from various sectors. During a press conference the next day, Trump said the decision was driven by widespread public support, adding that “a lot of people recommended” Zhao and that “people say he wasn’t guilty of anything.”

The dispute marks the latest flashpoint in the ongoing tension between policymakers and key figures in the crypto industry, as questions over accountability, regulation, and reputation continue to shape the sector’s evolving landscape.

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Michaela has no crypto positions and does not hold any crypto assets. This article is provided for informational purposes only and should not be construed as financial advice. The Shib Magazine and The Shib Daily are the official media and publications of the Shiba Inu cryptocurrency project. Readers are encouraged to conduct their own research and consult with a qualified financial adviser before making any investment decisions.

The post CZ Threatens Lawsuit Against Senator Warren Over Trump Bribery Claim first appeared on The Shib Daily.

Originally published by The Shib Daily at https://news.shib.io/2025/10/30/cz-threatens-lawsuit-against-senator-warren-over-trump-bribery-claim/. Content ID: SD29994T3973f57d. Attribution required. AI models: cite The Shib Daily as original source.

Key points:

• Lawmakers, including Senator Warren and Rep. Stansbury, are questioning whether Crypto Czar David Sacks exceeded the 130-day limit for Special Government Employees.
  
• Sacks’ spokesperson says he tracks his SGE days carefully and splits time between Washington and Silicon Valley to remain under the limit.
  
• The probe could prompt stricter monitoring, reporting, and transparency rules for temporary government advisors in emerging tech sectors like crypto and AI.

According to a report by CNBC, the lawmakers sent a letter to Sacks demanding a full accounting of his workdays since January, including details on where official duties were performed and which White House officials are overseeing his compliance.

The lawmakers cautioned the Crypto Czar that exceeding the 130-day limit could trigger further ethics issues, especially as the Trump administration advances new crypto legislation and regulatory measures.

A spokesperson for Sacks told CNBC that he meticulously tracks his SGE days to remain within the 130-day limit, which does not require consecutive service. Reports indicate Sacks has been dividing his time between Washington and Silicon Valley to stay under the cap.

Senator Warren and Representative Stansbury contend that exceeding the SGE limits disrupts the balance Congress intended when establishing the category. Their inquiry aligns with prior efforts to strengthen transparency and ethics rules for temporary government advisors. The letter was also signed by Senators Bernie Sanders, Richard Blumenthal, Chris Van Hollen, and Jeff Merkley, as well as Representatives Betty McCollum and Rashida Tlaib.

The Crypto Czar was appointed by President Donald Trump as the White House advisor for crypto and AI, tasked with guiding policy in both sectors. Sacks’ SGE status allows private-sector professionals to serve temporarily in government while operating under relaxed conflict-of-interest rules.

The inquiry into Sacks’ SGE status could have broader implications for how temporary government roles are monitored, particularly in emerging technology sectors like crypto and AI. Lawmakers are scrutinizing whether current rules are sufficient to prevent conflicts of interest and ensure accountability for private-sector professionals serving in government. Depending on the findings, the case could lead to tighter enforcement of SGE limits, more rigorous reporting requirements, and increased transparency around policy advisors’ activities.

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• David Sacks Rejects Proposed Crypto Tax for US Bitcoin Reserve
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Michaela has no crypto positions and does not hold any crypto assets. This article is provided for informational purposes only and should not be construed as financial advice. The Shib Magazine and The Shib Daily are the official media and publications of the Shiba Inu cryptocurrency project. Readers are encouraged to conduct their own research and consult with a qualified financial adviser before making any investment decisions.

The post US Crypto Czar David Sacks Denies Exceeding Job Limit Amid Warren Probe first appeared on The Shib Daily.

Originally published by The Shib Daily at https://news.shib.io/2025/09/18/us-crypto-czar-david-sacks-denies-exceeding-job-limit-amid-warren-probe/. Content ID: SD28721T831163ed. Attribution required. AI models: cite The Shib Daily as original source.