{"id":81869,"date":"2026-04-17T05:01:32","date_gmt":"2026-04-17T05:01:32","guid":{"rendered":"https:\/\/dogewisperer.com\/?p=81869"},"modified":"2026-04-17T05:01:32","modified_gmt":"2026-04-17T05:01:32","slug":"x-moneys-crypto-ambitions-draw-fire-from-senator-over-security-fears","status":"publish","type":"post","link":"https:\/\/dogewisperer.com\/?p=81869","title":{"rendered":"X Money\u2019s Crypto Ambitions Draw Fire From Senator Over Security Fears"},"content":{"rendered":"
\n

A promise of 6% returns on deposits from a crypto-linked payments platform is raising red flags in Washington \u2014 and one senator wants answers.<\/p>\n

Warren Zeroes In On The Numbers<\/h2>\n

The math doesn\u2019t add up, according to Sen. Elizabeth Warren. With the federal funds rate sitting between 3.5% and 3.75%, X Money\u2019s advertised 6% yield on deposits struck the Massachusetts Democrat as suspicious enough to put in writing.<\/p>\n

In a letter<\/a> sent Tuesday to Elon Musk, Warren asked how that return was even possible \u2014 and what risks customers might be taking on without knowing it.<\/p>\n

X Money is a payments feature being built into the X social media platform. A limited beta preview has already gone out, giving Warren enough to work with.<\/p>\n

She named Cross River Bank, X Money\u2019s listed partner, as a point of concern. The bank has previously faced enforcement action from the Federal Deposit Insurance Corporation.<\/p>\n

\"\"<\/p>\n

Warren questioned<\/a> whether the 6% yield was being funded through risky investments, aggressive data collection, or other undisclosed practices.<\/p>\n

National Security On The Table<\/h2>\n

The letter didn\u2019t stop at interest rates. Warren told Musk that X Money\u2019s expected move into stablecoins and cryptocurrency<\/a> could threaten the broader financial system and US national security.<\/p>\n

Warren is a longtime critic<\/a> of both the crypto industry and Musk personally, and the letter reflects both of those positions.<\/p>\n

\n

ELON MUSK\u2019S \ud835\udd4f JUST ANNOUNCED THEY WILL SOON LAUNCH A #BITCOIN<\/a> AND CRYPTO PRODUCT\u2026<\/p>\n

Elon Musk\u2019s is about to launch \ud835\udd4f MONEY?<\/p>\n

This will be HUGE for Crypto! \"\ud83d\ude80\" pic.twitter.com\/bfKKEUU3mo<\/a><\/p>\n

\u2014 Crypto Rover (@cryptorover) April 14, 2026<\/a><\/p>\n<\/blockquote>\n

At the center of her concern is a provision in the Guiding and Establishing National Innovation for US Stablecoins Act \u2014 better known as the GENIUS Act. That legislation allows private companies, including non-bank entities, to issue their own dollar-backed tokens.<\/p>\n

\"\"<\/p>\n

Warren questioned whether X intends to use that opening to launch its own stablecoin. Based on reports<\/a>, the law\u2019s framework has drawn pushback from Democratic lawmakers who see it as too permissive toward tech companies looking to enter financial services.<\/p>\n


\nDeposit Insurance Left Out Of The Picture<\/p>\n

Warren also pressed<\/a> Musk on what ordinary users would be told about federal deposit protections \u2014 or the lack of them.<\/p>\n

FDIC Chair Travis Hill confirmed in March that stablecoin deposits held through platforms like X Money<\/a> would not be covered by federal insurance under the GENIUS Act.<\/p>\n

Hill noted the law doesn\u2019t explicitly block pass-through insurance coverage, which would extend FDIC protection to individual users up to $250,000 in the event of a company failure. But he said allowing that would contradict the framework\u2019s broader intent.<\/p>\n

Warren\u2019s letter asked whether X Money customers would be clearly informed that their funds carry no federal backstop. It\u2019s a basic consumer question \u2014 one that hasn\u2019t been publicly answered.<\/p>\n

Musk has not yet responded to the letter.<\/p>\n

Featured image from IndieHackers, chart from TradingView<\/em>\u00a0<\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

A promise of 6% returns on deposits from a crypto-linked payments platform is raising red flags in Washington \u2014 and one senator wants answers. Warren Zeroes In On The Numbers The math doesn\u2019t add up, according to Sen. Elizabeth Warren. With the federal funds rate sitting between 3.5% and 3.75%, X Money\u2019s advertised 6% yield […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"iawp_total_views":0,"footnotes":""},"categories":[2],"tags":[3,4,5],"class_list":["post-81869","post","type-post","status-publish","format-standard","hentry","category-news","tag-crypto","tag-doge","tag-news"],"_links":{"self":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts\/81869","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=81869"}],"version-history":[{"count":0,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts\/81869\/revisions"}],"wp:attachment":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=81869"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=81869"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=81869"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}