Beatty Demands Immediate Action on Crypto Fraud and Stablecoin Integrity

WASHINGTON, — In a forceful call for financial accountability, Rep. Joyce Beatty (D-Ohio) demanded immediate action to combat rampant fraud in the cryptocurrency market and establish strict regulatory oversight of stablecoins. Speaking before the House Financial Services Committee on Wednesday, Beatty decried the "wild west" nature of digital assets and their exploitation by criminals and bad actors.

"The existence of the digital market is not going to change, and public appetite for it is not waning," Beatty asserted. "We must act now to protect consumers, uphold financial integrity, and prevent further abuse."

Beatty leveled sharp criticism at former President Donald Trump and his family, accusing them of defrauding supporters through cryptocurrency schemes. "The President and First Lady made over a billion dollars on a Trump and Melania coin, preying on their supporters’ hard-earned money," she stated. "Eric Trump has shamelessly used his social media presence to promote coins he has invested in, disguising self-enrichment as sound financial advice. This is fraud, market manipulation, and a blatant conflict of interest."

The hearing focused on the urgent need for stablecoin regulations to prevent illicit financial activities such as money laundering, cybercrime, and sanctions evasion. Beatty challenged industry experts on how to ensure stablecoins maintain their integrity in an unregulated financial landscape.

Carole House, a former crypto policy lead at the Financial Crimes Enforcement Network (FinCEN), stressed the need for a comprehensive regulatory framework. "We need clear, enforceable guidelines to combat illicit finance," House stated. "That includes stringent anti-money laundering (AML) and counter-financial terrorism (CFT) protections, ensuring that stablecoins do not become vehicles for criminal enterprises."

Beatty underscored the importance of bipartisan efforts, particularly the Waters-McHenry legislation, which originally included vital AML-CFT protections before they were removed by Republican-led efforts. "The removal of these safeguards is unacceptable," she declared. "We must return to the original proposal and implement measures that prioritize financial security over political interests."

As the debate over cryptocurrency regulations intensifies, Beatty vowed to continue pushing for reforms that shield consumers from fraud and uphold market integrity. "We cannot allow the digital financial space to remain lawless," she said. "Congress must act decisively to establish oversight, prevent exploitation, and hold bad actors accountable."