U.S. Senators Elizabeth Warren and Richard Blumenthal are raising red flags over Meta’s possible return to the stablecoin market. In a letter addressed to CEO Mark Zuckerberg, the senators urged Meta to clarify its intentions amid growing concerns over the pending GENIUS Act, a federal bill designed to regulate payment stablecoins.

The letter comes as the Senate moves closer to a final vote on the GENIUS Act, with 68 senators already approving a motion to proceed. Lawmakers are particularly alarmed by reports suggesting Meta is exploring ways to integrate stablecoin payments into its platforms — including Facebook, Instagram, Messenger, WhatsApp, and Threads. While speculation continues over whether Meta might partner with existing issuers like Tether (USDT) or Circle (USDC), or create its own digital currency, the company has not announced any official plans. On May 8, Meta spokesperson Andy Stone insisted on X that “there is no Meta stablecoin.”

Warren and Blumenthal pointed to the failed Libra and Diem projects as examples of Meta’s prior attempts to enter the digital currency space. They expressed fears that Meta, if granted a waiver under the GENIUS Act by former President Donald Trump, could dodge critical oversight. The senators warned that such a move could allow Meta to exploit user transaction data, deepen surveillance, and fuel invasive ad targeting.

The controversy adds new urgency to the debate around the GENIUS Act, especially as questions mount over potential conflicts of interest tied to Trump’s crypto-linked business ventures. With bipartisan support pushing the bill forward, the future of stablecoin regulation — and Meta’s role in it — remains in the spotlight.