Trump-Linked World Liberty Monetary Attracts Home Scrutiny After $500M UAE Stake Revealed

A US Home investigation has turned its focus to World Liberty Monetary, a Trump-linked crypto enterprise.

The transfer follows a latest Wall Road Journal report of a $500M UAE-linked stake agreed shortly earlier than President Donald Trump’s inauguration.

Rep. Ro Khanna, a Democrat from California and the rating member of the Home Choose Committee on the Chinese language Communist Get together, on Wednesday despatched a letter to World Liberty co-founder Zach Witkoff searching for possession data, fee particulars and inside communications tied to the reported deal and associated transactions.

Khanna wrote that the Journal reported “lieutenants to an Abu Dhabi royal secretly signed a take care of the Trump Household to buy a 49% stake of their fledgling cryptocurrency enterprise [World Liberty Financial] for half a billion {dollars}” shortly earlier than Trump took workplace.

He argued the reported funding raises questions on conflicts of curiosity, nationwide safety and whether or not US expertise coverage shifted in ways in which benefited overseas capital tied to strategic priorities.

In the meantime, Trump has mentioned he had no data of the deal. Talking to reporters on Monday, he mentioned he was not conscious of the transaction and famous that his sons and different relations handle the enterprise and obtain investments from varied events.

Crypto Enterprise Deal Attracts Scurinty Over AI And Nationwide Safety Coverage Intersection

The letter additionally linked the reported stake to US export controls on superior AI chips and considerations about diversion to China by way of third international locations.

Khanna mentioned the Journal report steered the UAE-linked funding “might have resulted in important adjustments to U.S. Authorities insurance policies designed to forestall the diversion of superior synthetic intelligence chips and associated computing capabilities to the Folks’s Republic of China.”

Based on the Journal account cited within the letter, the settlement was signed by Eric Trump days earlier than the inauguration.

The investor group was described as linked to Sheikh Tahnoon bin Zayed Al Nahyan, the UAE nationwide safety adviser. Two senior figures linked to his community later joined World Liberty’s board.

USD1 Stablecoin Use Raises Questions Over Affect And Income

Khanna’s letter pointed to a different UAE-linked deal involving World Liberty’s USD1 stablecoin, which he mentioned was used to facilitate a $2B funding into Binance by MGX, an entity tied to Sheikh Tahnoon. He wrote that this use “helped catapult USD1 into one of many world’s largest stablecoins”, which may have elevated charges and revenues for the undertaking and its shareholders.

The lawmaker additionally linked the Binance funding to later coverage developments, together with chip export selections and a presidential pardon for Binance founder Changpeng Zhao.

He cited a former pardon legal professional who mentioned, “The affect that cash performed in securing this pardon is unprecedented. The self-dealing facet of the pardon when it comes to the profit that it conferred on President Trump, and his household, and other people in his internal circle can be unprecedented.”

Khanna framed the general image as greater than political optics. “Taken collectively, these preparations will not be only a scandal, however might even symbolize a violation of a number of legal guidelines and the US Structure,” he wrote, citing conflict-of-interest guidelines and the Structure’s Overseas Emoluments Clause.

Khanna Warns Of Nationwide Safety Stakes In WLFI Case

He requested World Liberty to reply detailed questions and produce paperwork by March 1, 2026, together with agreements tied to the reported 49% stake, fee flows, communications with UAE-linked representatives, board appointments, due diligence and data tied to the USD1 stablecoin’s function within the Binance transaction.

Khanna additionally pressed for particulars on any discussions round export controls, US coverage towards the UAE and strategic competitors with China, in addition to communications associated to President Trump’s resolution to pardon Zhao.

The probe lands at a second when stablecoins sit nearer to the middle of market construction debates, and when politically linked crypto ventures face sharper questions on possession, governance and entry.

Khanna closed his letter with a warning in regards to the stakes, writing, “Congress won’t be supine amid this scandal and its unmistakable implications on our nationwide safety.”

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