On Monday, Senators Jeff Markley (D-Ore.) and Elizabeth Warren (D-Mass.) urged federal watchdogs to investigate recent transactions linked to the Trump family’s cryptocurrency firm, expressing concerns about potential foreign influence.
World Liberty Financial, a company established by President Trump and his son, announced last week that a new Stablecoin would facilitate a $2 billion deal between Emirati company MGX and Crypto Exchange Binance.
“This transaction, upon completion, signifies a severe conflict of interest and could expose our government to potential violations of the Constitution, raising significant risks regarding foreign influence and national security,” Markley and Warren wrote in a letter to Jamieson Greer, the acting director of the Government Ethics Bureau.
The senators argued that World Liberty Financial could serve as a “backdoor for foreign kickbacks and bribery” due to the connections between the Trump and Witkoff families.
Steve Witkoff, currently serving as a special envoy to the Middle East for Trump, has a son, Zach Witkoff, who co-founded World Liberty Financial.
Markley and Warren noted that the Trump and Witkoff families could gain hundreds of millions of dollars “indirectly” from the deal.
“In essence, Trump and Witkoff are engaging with foreign government entities and private organizations that have significant business dealings with the US government, which raises major conflict of interest concerns,” they stated.
Further, the senators expressed worry about the parties involved in the contract, pointing out that Binance had previously settled criminal charges with the Department of Justice and sought leniency for its convicted founder.
MGX has strong ties to the UAE government, as its chairman reportedly serves as a national security adviser and is lobbying the Trump administration for relaxed restrictions on advanced chip sales from US companies.
In summary, they cautioned, this crypto venture, linked to individuals seeking pardons and a foreign government with ambitions for sensitive US technology, poses significant risks to Trump and Witkoff’s families resulting in substantial financial gains.
“Opportunities for foreign influence are formidable during the Trump administration, as it could mean financial benefits for the UAE in exchange for substantial payments,” they concluded.
