TechFlow news, December 17 — According to Decrypt, Senator Elizabeth Warren sent a letter this week to Treasury Secretary Scott Bessent and Attorney General Pamela Bondi, warning of potential national security risks posed by decentralized exchanges (DEXs), specifically naming PancakeSwap. Warren requested that both departments respond by January 12, 2026, detailing the associated risks and proposed countermeasures.
Warren cited a research report from blockchain analytics firm Allium, which indicated that in the February 2025 hack of Bybit, where $1.4 billion was stolen, approximately 20% ($263 million) of the stolen funds were laundered through PancakeSwap. She also questioned the relationship between PancakeSwap and USD1, the stablecoin backed by World Liberty Financial—a company supported by Trump—as well as possible improper political influence from the Trump administration on cryptocurrency enforcement decisions.
PancakeSwap has not yet responded to Warren's allegations.
