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U.S. lawmakers increased pressure on Friday over reported foreign involvement in a crypto company linked to U.S. President Donald Trump, asking the Treasury Department's foreign investment regulator to elucidate whether the deal threatens national security or needs to be reviewed.
Trump and the $500 million deal
An Abu Dhabi-linked vehicle reportedly paid about $500 million for about 49% stake in World Liberty Financial (WLFI). This investment is alleged to have led a foreign investor to change into the biggest outside shareholder and gain seats on the board.
Critics are reportedly fearful about what access a significant shareholder might need to customer data, system controls or strategic decisions at an organization that manages stablecoins and user wallets.
Sheikh named as a supporter
Reports suggest an investment vehicle linked to Sheikh Tahnoon bin Zayed Al Nahyan. The deal reportedly closed in January 2025, a timing that has drawn particular attention from lawmakers due to its proximity to the transition in Washington.
Some of the cash from the transaction reportedly flowed to corporations linked to the corporate's founders and affiliates. This detail has raised questions on disclosure and whether any foreign business rules were followed.
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Lawmakers want answers
Massachusetts Senator Elizabeth Warren and New Jersey Senator Andy Kim have written to Scott Bessent asking whether the Committee on Foreign Investment within the United States – CFIUS – has reviewed the transaction or should now launch a proper investigation into the Trump-linked crypto company.
Lawmakers set a deadline for a response and demanded documents and a transparent statement on any national security concerns. Her letter addresses foreign access to sensitive financial and identity information and possible influence over an organization linked to a sitting president.
Image: WEEX
Board appointments and technical relationships increase scrutiny
Following the deal, executives with ties to G42 were reportedly appointed to the corporate's board. This connection has raised recent questions as G42 has been scrutinized for its foreign partnerships in previous US intelligence reviews.
Lawmakers say some of these connections deserve close scrutiny if the investor traces back to a foreign government official or agency.
Trump-Linked Crypto: What Happens Next
If CFIUS launches a proper review, it could request documents, query executives and implement remedies or block parts of the deal. If a review isn't initiated, lawmakers say they are going to push further through oversight hearings and document requests.
The ongoing investigation highlights a variety of issues: foreign capital in cryptocurrencies, the handling of consumer data and the way political relationships intersect with cross-border investments.
Featured image by David Hume Kennerly/Getty Images, chart by TradingView
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