Elizabeth Warren Questions MrBeast Over Potential Crypto Push to Young Users

Senator Elizabeth Warren is pressing Beast Industries over whether its acquisition of teen banking app Step could expose millions of minors to cryptocurrency products, escalating scrutiny of influencer-led financial platforms aimed at young users.

In a 12-page letter, Warren asked YouTube creator Jimmy Donaldson and Beast Industries CEO Jeff Housenbold to answer 11 questions on fraud controls, cybersecurity and advertising practices, with a response deadline of April 3. 

Beast Industries is primarily an entertainment and consumer product company – and any foray into financial services, particularly services aimed at children – must be done with great care and in compliance with the law.

US Senator Elizabeth Warren

The top Democrat on the Senate Banking Committee questioned whether Beast Industries, which she described as primarily an entertainment company, is equipped to run a fintech platform with about 7 million users, most of them teenagers.

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Step’s Crypto History Returns to Focus

A central concern is Step’s earlier crypto push. In 2022, the app became the first US platform to let users under 18 buy, sell and hold digital assets through a partnership with Zero Hash. It later expanded to more than 50 cryptocurrencies and NFTs before ending those services in 2024. 

Warren said the company had also promoted crypto to children, including materials that encouraged them to persuade their parents to invest.

The letter points to signs that crypto products could return. In October 2025, Beast Holdings filed trademark applications for “MrBeast Financial” covering services including cryptocurrency exchange, consumer lending and decentralised finance. 

In January 2026, BitMine Immersion Technologies invested US$200 million (AU$286 million) in Beast Industries, valuing the company at US$5.2 billion (AU$7.4 billion). 

Housenbold told The New York Times the company was exploring how to incorporate DeFi into a future financial services platform and said it knew how to make products viral for Gen Z and Gen Alpha.

Warren Calls Step’s Partners

Warren also cited wider warning signs as Step’s banking partner, Evolve Bank & Trust, is under a Federal Reserve consent order. 

She referenced the 2024 collapse of Synapse Fintech, which left customer funds unaccounted for, as a reminder of the risks tied to banking-as-a-service models.

The inquiry also mentioned a Beast Industries employee fined and suspended by Kalshi over alleged trading tied to non-public information, as well as the “Hawk Tuah” memecoin, which briefly reached a market value of about US$500 million (AU$715 million) before losing more than 90% and causing roughly US$200,000 (AU$286,000) in documented losses.

Beast Industries said it is reviewing Step’s products and marketing and that its goal is to improve the financial future of the next generation, whatever that means.

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