Maxine Waters Blocks Crypto Oversight Hearing Over Trump-Linked Concerns

Rep. Maxine Waters, the top Democrat on the House Financial Services Committee, has moved to block a joint congressional hearing on a newly introduced crypto market structure bill. The hearing, planned between the Financial Services and Agriculture Committees, was scheduled to address oversight responsibilities of the SEC and CFTC in the crypto sector.

Under House rules, all committee members must agree to a joint session. A Democratic aide told CoinDesk that Waters objected, citing former President Donald Trump’s increasing involvement in crypto. Waters reportedly demanded that Republicans include legislative safeguards to prevent Trump from financially benefiting from digital assets, arguing it would protect investors.

Her stance follows Trump's recent announcement of a dinner for the top 220 holders of TRUMP memecoins, and Eric Trump’s revelation that MGX, an Abu Dhabi investment firm, plans to use World Liberty Financial’s USD1 stablecoin to invest in Binance. Additionally, Freight Technologies stated it would purchase $20 million worth of TRUMP coins to influence trade policy.

Waters, known for her criticism of Trump’s crypto connections, intends to hold a separate Democratic-led hearing investigating Trump’s ties to crypto ventures, including World Liberty Financial. Politico first reported her intent to block the session.

In response, Financial Services Committee Chair French Hill encouraged Waters to attend the hearing and share her views, emphasizing that bipartisan discussions on crypto regulation have been ongoing since the last Congress.

This political standoff highlights the growing tension between parties over crypto policy and regulation, particularly as digital assets become increasingly intertwined with high-profile political figures and campaign finance.