US senators have sent a letter requesting an investigation into the risks of PancakeSwap and decentralized exchanges.

According to Odaily Planet Daily, U.S. Senator Elizabeth Warren has written to Treasury Secretary Scott Bessent and Attorney General Pamela Bondi, requesting an investigation into the potential national security risks of decentralized exchanges (DEXs), specifically naming PancakeSwap.

The letter mentions that PancakeSwap is suspected of being involved in money laundering of funds stolen by North Korean hackers, as well as trading the stablecoin USD1, which is linked to Trump. A report by blockchain analytics firm Allium indicates that approximately $263 million (20% of the stolen funds) was laundered through PancakeSwap in the $1.4 billion cryptocurrency theft at the Bybit exchange. Warren points out that the lack of strict anti-money laundering and KYC controls on decentralized platforms allows bad actors to transfer, mix, and cash out illicit funds. Warren requests that both departments respond by January 12, 2025, regarding the risks and actions being taken, as well as measures to prevent cryptocurrency-related conflicts of interest, including those within the Trump family.