Meta’s revived interest in stablecoins is drawing fresh scrutiny from Washington. Democratic Senators Elizabeth Warren and Richard Blumenthal have sent a pointed letter to Meta CEO Mark Zuckerberg, questioning the company’s possible return to private digital currency plans. The letter comes amid reports that Meta is in early talks with crypto firms to explore stablecoin integration, particularly for low-cost payments on platforms like Instagram.
The senators expressed concern over what they called “troubling reports” suggesting Meta may be preparing to launch or partner on a new stablecoin project. They warned that allowing Big Tech firms to issue or control private currencies could undermine competition, endanger financial privacy, and weaken federal control over the U.S. money supply.
"Big Tech companies’ issuing or controlling their own private currencies... would threaten competition across the economy, erode financial privacy, and cede control of the U.S. money supply to monopolistic platforms that have a history of abusing their power," the senators wrote.
Meta recently hired former Ripple executive Ginger Baker, signaling potential momentum in its stablecoin ambitions. Ripple, which launched its own stablecoin (RLUSD) in December, is viewed as a possible partner—though it’s unclear whether Meta will launch a coin independently or collaborate with an existing issuer.
Warren and Blumenthal are not just worried about the currency itself—they’re concerned about how Meta could leverage a stablecoin to deepen its data reach and market dominance. With 3.5 billion daily users, Meta could potentially nudge users toward internal financial services, collect granular transaction data, and use that information for targeted ads or even to manipulate pricing, the letter argued.
The senators also raised broader questions about stablecoin safety, referencing the brief USDC depeg in 2023 as an example of systemic risk. They cautioned that stablecoins, if not properly regulated, could become liabilities requiring taxpayer bailouts in times of crisis. Given Meta’s history with privacy violations and regulatory pushback, the lawmakers warned that its re-entry into crypto could bring new consumer protection, anti-money laundering, and national security concerns.
Their letter includes a list of detailed inquiries, requesting Zuckerberg clarify Meta’s stablecoin-related activity since January 2025, outline whether it plans to launch its own token or partner with another firm, and specify which Meta platforms might be used for digital payments. The senators also want to know whether Meta has lobbied on crypto legislation such as the GENIUS Act or the STABLE Act, and if the company has pushed for exemptions that would allow stablecoin issuance under new regulatory frameworks. They’ve asked for responses by June 17.
Meta’s previous stablecoin project, Libra—later rebranded as Diem—was launched in 2019 with grand plans to offer a global digital currency backed by a basket of fiat assets. The effort, however, was met with global regulatory resistance and eventually shut down in 2022. Since then, the underlying technology has lived on through blockchain spin-offs like Aptos and Sui, but Meta itself has remained on the sidelines—until now.
The current regulatory landscape, however, is shifting. Under the second Trump administration, pro-crypto sentiment is rising. Treasury Secretary Scott Bessent recently told lawmakers that the U.S. dollar stablecoin market, if supported by legislation, could exceed $2 trillion within three years. The Senate also just advanced the GENIUS Act, a bill that could open the door for stablecoin issuance by tech companies—adding urgency to Warren and Blumenthal’s push for transparency.
Meta isn’t the only tech firm eyeing digital currency. Apple, Google, X (formerly Twitter), Airbnb, and Uber are all exploring stablecoin options, while payment giants like Stripe, Visa, and Mastercard are already integrating blockchain-based payment technologies.
