In a move that has raised significant national security concerns, two U.S. senators have called on the Treasury Department to investigate a major foreign investment in a cryptocurrency firm linked to the Trump family. The focus keyword UAE investment in Trump crypto highlights the core issue at hand: a $500 million stake by a UAE-backed entity in World Liberty Financial (WLFI).
UAE Stake and National Security Concerns
Senators Elizabeth Warren of Massachusetts and Andy Kim of New Jersey have expressed serious apprehensions about the investment’s implications for U.S. national security and foreign influence. In a formal letter addressed to Treasury Secretary Scott Bessent on Friday, they urged an assessment to determine if the Committee on Foreign Investment in the United States (CFIUS) should investigate the deal. This transaction allegedly occurred shortly before Donald Trump’s presidential inauguration, positioning the UAE-backed fund as WLFI’s largest shareholder.
Financial Data Access and Privacy Risks
The investment deal, reportedly supported by Sheikh Tahnoon bin Zayed Al Nahyan, the UAE’s national security adviser, has stirred concerns about privacy and data security. The senators noted that WLFI’s privacy disclosures reveal its collection of sensitive data, including wallet addresses and IP addresses. This data access could potentially allow foreign entities undue influence over American financial information.
Calls for Investigation
Given these concerns, the lawmakers requested confirmation from Bessent, who chairs the CFIUS, on whether the committee was informed of the deal. If necessary, they seek a “comprehensive, thorough, and unbiased investigation” into the matter. The legislators have requested a response by March 5.
Last November, concerns regarding WLFI’s token sales to sanctioned foreign entities were also raised by Senators Warren and Jack Reed. In communications to the Justice Department and Treasury, they highlighted potential connections between WLFI governance tokens and blockchain addresses linked to North Korea’s Lazarus Group, as well as Russian and Iranian entities.
Trump Family’s Response
President Donald Trump, when questioned, claimed no direct involvement with the reported investment. He stated that his family manages such investments, noting that his sons handle the firm’s affairs. Trump remarked, “I guess they get investments from different people.”
