Ahead of Committee Markup, Warren Calls for Answers on SEC’s Crypto Regulation Following President Trump’s Executive Order Putting Americans’ Retirement at Risk

Ahead of Committee Markup, Warren Calls for Answers on SEC's Crypto Regulation Following President Trump's Executive Order Putting Americans' Retirement at Risk

As the Senate Banking Committee negotiates crypto market structure legislation, Warren warns bill as currently drafted could weaken SEC authority and further expose 401(k)s to volatile crypto assets

AFLand AFTlabor unions previously voiced opposition to the Committee's draft crypto market structure bill

Letter (PDF)

Washington, D.C. - U.S. Senator Elizabeth Warren (D-Mass.), Ranking Member of the Senate Banking, Housing, and Urban Affairs Committee, wrote to Paul S. Atkins, Chairman of the Securities and Exchange Commission requesting information about how the agency will protect investors following President Trump's Executive Order clearing the way for pension funds and retirement accounts to hold volatile cryptocurrency assets.

"I write to request information regarding the Trump Administration's Executive Order that endangers investors by clearing the way for pension funds and retirement accounts to hold volatile crypto assets," wrote Ranking Member Warren.

Ranking Member Warren's letter comes as the Senate Banking Committee is negotiating crypto market structure legislation that could create a sweeping "tokenization loophole," allowing financial products offered on the blockchain to sidestep the SEC's authority. Senator Warren warned that, combined with President Trump's Executive Order, this approach could dramatically increase risks to Americans' retirement savings.

"For most Americans, their 401(k) represents a lifeline to retirement security rather than a playground for financial risk. Allowing crypto into American retirement accounts creates fertile ground for workers and families to lose big," wrote Ranking Member Warren.

She continued: "Given the threats from crypto's volatility, the market's lack of transparency, and potential conflicts of interest, I am concerned that the Trump Administration's decision to allow these risky assets to be part of such critical retirement investments threatens millions of Americans' retirement security. These concerns are exacerbated by the fact that Republicans on the Senate Banking and Agricultural Committees may greenlight crypto market structure legislation that creates a tokenization loophole through which nearly any financial product offered on the blockchain could sidestep the SEC's authority to regulate securities."

Ranking Member Warren pressed the SEC to explain how it will ensure fair valuation of crypto assets, assess manipulation and deceptive practices in crypto markets, and provide awareness for retail investors - particularly those exposed to crypto through retirement plans - following the Trump Administration's actions. She requested responses by January 27, 2026.

###

• Print
• Email
• Tweet