Teachers Accuse Congress of Booby-Trapping Their Pensions With Tokenized Time Bombs

Babe, wake up, the educators just put Capitol Hill in detention for financial malpractice…

The American Federation of Teachers just dropped a “with all due respect, stop being idiots” letter on Tim Scott and Elizabeth Warren, lighting up the committee’s new crypto bill… the Responsible Financial Innovation Act. Their verdict? The name is responsible. The bill… not so much.

AFT president Randi Weingarten went full-caps-lock energy in the letter, warning that the bill: strips the few safeguards crypto does have, weakens protections for traditional securities, and might let retirement portfolios pick up assets cooked up by bored teenagers between classes.

She might have a solid point… considering one specific nightmare scenario in which the bill lets non-crypto companies tokenize their stock, effectively sidestepping existing securities law.

Translation: imagine Boeing or Walgreens throwing their shares onto the blockchain like it’s some “NFT but make it corporate” experiment… and suddenly your pension is holding assets your regulators can’t even spell.

Even Larry Fink (the tokenization Top G) is probably reading this thinking, “Okay, maybe not that fast.”

But like most teachers when the bell rings, Weingarten wasn’t done lecturing just yet. She then went on to say that this bill assumes crypto is mature and stable.

And again, kind of hard to disagree when you remember crypto’s defining era featured SBF and his runway-model girlfriend convincing Washington they were the future of finance… right up until a tweet from his competitor burnt their entire fake empire to the ground.

That’s one reason the AFT says this version of the law could “set the stage for the next financial crisis.” 

(Source: CNBC)

The AFL-CIO also hates the bill. State regulators hate the bill. A chunk of Democrats hate the bill. Senator Mark Warner literally said he’s “in crypto hell” trying to negotiate it.

And now all the big Wall Street banks (Bank of America, Citi, Wells Fargo) are shuffling into meetings with lawmakers because even they have no idea what radioactive asset cocktail they’re about to inherit.

Meanwhile, Senators Cynthia Lummis and Bernie Moreno (plus Chairman Tim Scott) insist the legislation simply gives digital assets a regulatory framework. Translation: our crypto donors want this thing passed, there will be no further questions.

With all that said, one important thing to note is that this Senate version builds on a House bill that already passed, but to actually make it to Trump’s desk, it’ll need votes from at least seven Democrats. Right now it has… hard to say, but the number rhymes with “hero.”

But as much as I’d love to dunk on the teachers here, they’re not exactly off-base. Stocks should stay in their boring, well-lit SEC-supervised lane. 

If I want to wander into the lawless crypto saloon, I’ll grab my cowboy hat and do it myself… I don’t need a Fortune 500 stock suddenly deciding it wants to moonwalk into sketchy-token territory.

At the time of publishing this article, Stocks.News holds positions in Bitcoin and Ethereum as mentioned in the article.