Scandal surrounding World Liberty Financial: Democrats demand investigation over $500 million from the UAE
Five influential Democratic senators have sent an official request to the heads of key Senate committees, demanding urgent hearings on the cryptocurrency project World Liberty Financial (WLF), which is affiliated with the family of President Donald Trump. The unprecedented move was prompted by data indicating that shortly before Trump's inauguration in January 2025, entities linked to a member of the UAE royal family acquired a stake in the project for $500 million.
The letter, dated June 23, was signed by Senators Elizabeth Warren, Richard Blumenthal, Gary Peters, Dick Durbin, and Ron Wyden. It is addressed to the chairmen of the committees on banking, finance, judiciary, homeland security, and investigations. The basis for the request was a publication in the Wall Street Journal, which claims that the company Aryam Investment from Abu Dhabi purchased 49% of WLF shares for an amount approaching half a billion dollars. According to journalists, the deal was closed just four days before Donald Trump officially took office.
Key Player and Chain of Decisions
The investor company is controlled by Sheikh Tahnoun bin Zayed Al Nahyan — the UAE's national security advisor and manager of the country's largest sovereign wealth fund. According to WSJ information, approximately $187 million of this amount was distributed to entities linked to the Trump family, and another $31 million to entities linked to the family of Vice President Steve Witkoff.
The senators draw a direct connection between this investment and subsequent actions by the administration. They point out that just a few months after the deal, the U.S. government approved the sale of $1.4 billion worth of weapons to the UAE. Furthermore, in November 2025, permission was granted to supply the UAE company G42 with 35,000 advanced American AI chips — despite expert warnings about threats to national security. The letter also notes that the administration took steps to ease oversight of the cryptocurrency industry, including disbanding the Justice Department's special unit for investigating crypto crimes.
"The entire chain of events raises serious concerns for us: it is possible that the UAE authorities have already received or will receive even more — to the detriment of U.S. national security — after investing in the Trump family's crypto company," the senators' appeal states.
White House Response and Expert Perspective
Representatives of World Liberty Financial have previously denied any connection between Donald Trump and Steve Witkoff with this deal after they assumed office. The White House explained that the president's assets have been placed in a trust managed by his children, which, according to the administration, eliminates a conflict of interest. However, the senators insist on holding hearings under oath to determine exactly what government officials knew about the $500 million injection from the UAE.
My comment: This incident is a vivid example of how political interests and regulatory risks intersect in the crypto industry. Questions of national security and transparency in project financing, especially involving government officials, will become increasingly acute. The market should prepare for heightened regulatory pressure, and this case could set a precedent for tightening the rules of the game across the entire industry.