Sen. Elizabeth Warren, D-Mass., publicly questioned Elon Musk’s social media platform X on Wednesday, June 4, expressing concern that the platform may be violating U.S. sanctions laws by providing “blue checks” — or verified status — to members of terrorist organizations in exchange for subscriptions. The concerns come one day after Warren’s office published a report detailing Musk’s 130 days of service in the Trump administration.
On X, a blue checkmark indicates a verified or paid account, which can give users increased reach and credibility.
In a letter to Treasury Secretary Scott Bessent and Secretary of State Marco Rubio, Warren said she’s concerned Musk “is helping U.S.-sanctioned terrorists engage in financial transactions and facilitating their ability to raise funds, including through the use of cryptocurrencies.”
Warren argued that if X or similar platforms are allowed to create their own “stablecoins,” terrorists, criminals, or sanctioned entities could use the platform-owned digital currencies to move money secretly or illegally. A stablecoin is a type of cryptocurrency designed to maintain a consistent value and is linked to a traditional currency such as the U.S. dollar.
“According to findings disclosed by the nonpartisan tech watchdog organization Tech Transparency Project (TPP), Musk’s X allowed sanctioned individuals from al-Qaeda, Hezbollah, and the Houthis — among others — to pay for the platform’s ‘blue checkmark’ feature, which allows users to increase their reach and monetize engagement,” Warren wrote in the letter.
Concerns tied to proposed legislation
Warren warned that X may already be violating sanctions agreements and threatening Americans’ safety. She suggested that things could get much worse if tech platforms are allowed to issue their own digital currencies under the laws proposed in the GENIUS Act, a piece of legislation introduced earlier this year that targets cryptocurrency regulation.
As the use of stablecoins grows, President Donald Trump wants Congress to pass the GENIUS Act, which Warren has spoken out against. Warren claims that the GENIUS Act would make it easier for Trump and his family “to line their pockets.”
In her letter, Warren stated that the GENIUS Act, in its current form, could weaken the Treasury Department’s ability to enforce sanctions. She said the act would allow private companies to issue their own stablecoins, which she claims are vulnerable to money laundering and sanctions evasion. A recent TTP report also noted that terrorists are increasingly using crypto to avoid detection by traditional financial systems.
Request for Treasury investigation
Warren asked Bessent if the Treasury Department, which oversees sanctions and financial crimes, can investigate the claims made by the TTP.
According to TTP, in February 2024, X removed all blue checkmarks from terrorist accounts on its platform and later removed the accounts themselves, after the group released its initial report of terrorist accounts on X . TTP said it conducted a new investigation between November 2024 and April 2025, and “found an array of blue checkmark accounts for U.S.-sanctioned individuals and organizations, including several that appeared to simply re-subscribe to premium service or create new accounts after their old ones were restricted or removed by X.”
Musk has not publicly commented on Warren’s letter or her concerns about his social media platform, X.
