Senator Elizabeth Warren (D-Mass.) sharply criticized what she described as "crypto corruption" involving a substantial $500 million investment by a senior United Arab Emirates royal into a cryptocurrency company with close ties to former President Donald Trump. Over the weekend, she highlighted these concerns following revelations about the investment, emphasizing the need for legislative scrutiny.
The Wall Street Journal reported that Sheikh Tahnoon bin Zayed Al Nahyan, the UAE's national security advisor and a prominent royal figure, executed a significant investment in World Liberty Financial. This financing was channeled through Aryam Investment, a firm supported by Sheikh Tahnoon, which acquired a 49% ownership stake, making it the largest known shareholder of the cryptocurrency enterprise.
World Liberty Financial is the company behind the USD1 stablecoin, a digital currency pegged to the U.S. dollar. Its value is underpinned by assets including short-term U.S. Treasury securities, dollar deposits, and cash equivalents. The company publicly lists former President Donald Trump and special envoy Steve Witkoff as co-founders emeritus, with current operations managed by members of the Trump and Witkoff families.
The transaction's financial flow was delineated in reports indicating that approximately $187 million from the investment was directed to entities owned by the Trump family, while $31 million was allocated to those controlled by the Witkoff family. These fund allocations underscore the direct financial benefits accrued to parties closely affiliated with the former president and his associates.
Notably, the agreement was reportedly finalized and signed by Eric Trump just days before Donald Trump's second presidential inauguration. This timing coincides with a period when the UAE sought access to advanced U.S.-manufactured artificial intelligence (AI) chips. Previously, these sales had been restricted due to concerns about potential diversion to China.
Several months following the investment deal, the U.S. government authorized the sale of hundreds of thousands of Nvidia Corporation AI chips to the UAE. Approximately 20% of these chips were intended for G42, an AI-focused enterprise under the control of Sheikh Tahnoon. The confluence of these events has raised questions about possible connections between private investment dealings and government export decisions.
Senator Warren, who serves as the leading Democrat on the Senate Banking Committee, publicly decried the situation as "corruption, plain and simple." On the social media platform X, she called for testimonies from key individuals involved, including Steve Witkoff, White House AI and crypto czar David Sacks, and Commerce Secretary Howard Lutnick. Warren's demands focus on uncovering whether U.S. national security interests were undermined for private financial gain.
In a forceful statement, Warren asserted, "Congress needs to grow a spine and put a stop to Trump's crypto corruption." This call to action underscores her urgency for legislative oversight and accountability concerning the overlapping arenas of cryptocurrency, foreign investments, and national security.
Responding to these allegations, White House spokesperson Anna Kelly stated there were "no conflicts of interest" involved. Kelly additionally highlighted that Steve Witkoff is engaged in efforts to advance President Trump's foreign policy objectives. Attempts to obtain further comments from the White House and World Liberty Financial were not immediately successful.