Senator Elizabeth Warren is demanding that Meta fully disclose its plans for stablecoin integration, warning the tech giant's potential dominance in digital payments could threaten competition, privacy, and financial stability.
Warren, the top Democrat on the Senate Banking Committee, sent a letter to CEO Mark Zuckerberg this week, arguing that Congress must understand Meta's stablecoin ambitions before voting on the Clarity Act-a bill that would legalize most crypto activity in the U.S.
Meta recently launched a program to pay creators in USDC on Solana and Polygon via Stripe. The company is reportedly planning to integrate a third-party stablecoin for in-app payments across Instagram, WhatsApp, Facebook, and Messenger later this year.
This isn't Meta's first foray into stablecoins. The company abandoned its Libra project in 2019 after intense congressional pushback. However, following the passage of the GENIUS Act last year-which legalized stablecoin issuance in the U.S.-Meta has renewed its interest.
Warren has given Meta until May 20 to detail its experiments with third-party stablecoins, any preferential treatment plans, privacy safeguards, and financial arrangements with issuers. She stressed that with 3.5 billion users, Meta's choices could have systemic implications.