Warren Demands DeFi Probe Over Trump Ties and Security Risks

Senator Warren urges investigations into DeFi platforms like PancakeSwap over alleged Trump ties, market manipulation, and national security risks, as Congress debates delayed crypto regulation.

Senator Elizabeth Warren has called for federal investigations into decentralized finance (DeFi) platforms, focusing on PancakeSwap and its alleged connections to business interests linked to Donald Trump. In letters to the Treasury and Justice Departments, Warren raised concerns about potential market manipulation involving World Liberty Financial tokens and questioned whether there was improper political influence in regulatory enforcement. She highlighted the risks posed by DeFi platforms that process large volumes of transactions without user identification, citing national security threats such as money laundering and terrorist financing. Warren requested details on any ongoing probes by January 12, 2026, and emphasized the need for clarity as Congress continues to debate a crypto market structure bill, which has been delayed. Her intervention adds pressure to ongoing legislative discussions about regulating DeFi and addressing its potential misuse by criminals and hostile states.