Crypto Bill Faces Growing Opposition Ahead of Crucial Vote

The revised Crypto Bill is facing criticism from several directions as it heads into what could be its most perilous moment yet. Senator Elizabeth Warren's Banking Committee staff has circulated arguments against the latest ethics compromise included in the bill, claiming that the new enforcement powers granted to state attorneys general are largely illusory.

The compromise, which was included in the revised bill after Senate Republicans made major concessions, would grant state attorneys general more authority to enforce restrictions on issuing or sponsoring digital assets. However, Warren's staff argues that these restrictions would generally apply only to assets launched after the provisions take effect, leaving existing assets untouched.

Additionally, a bipartisan coalition of 18 state attorneys general, led by New York Attorney General Letitia James, has urged lawmakers not to pass the legislation, citing concerns that it could weaken states' ability to pursue cryptocurrency fraud. The group's intervention comes just one day before the procedural vote.