Trump’s World Liberty Financial Faces Senate Scrutiny Over $500M UAE Deal
Highlights
- Trump-linked World Liberty Financial is struggling with a Senate investigation.
- Five Senators have asked WLFI team to disclose details of a $500 million UAE deal.
- It comes at a time when the CLARITY Act is also seeking to crackdown on Trump's ventures.
President Donald Trump’s crypto firm, World Liberty Financial (WLFI), has come under new pressure from Senate Democrats. Lawmakers are enquiring about a massive $500 million investment linked to the United Arab Emirates.
US Senate Probes Trump’s WLFI Over UAE Deal
Five Democratic representatives in the Senate have requested a congressional hearing on the deal. They wrote letters to several committee chairs of the Republicans, pointing out foreign interests and possible conflicts of interest.
The legislators say that the deal was inked four days before Trump was sworn in January 2025. The transaction was said to have given a UAE partner a 49% stake in WLFI. Moreover, Foreign buyers have already paid $218 million to entities tied to Trump and his Middle East envoy, Steve Witkoff, the senators said.
Sheikh Tahnoon bin Zayed Al Nahyan, UAE’s National Security Adviser, was named the lead investor by the lawmakers. They called it an unprecedented situation with a foreign government official having a controlling interest in a company surrounding a presidential candidate.
The senators also cited actions taken by Trump since he was sworn in. The UAE has received over $1.4 billion worth of arms since January 2025. It has also been responsible for exports of high-end artificial intelligence (AI) chips worth more than $1 billion.
Now, the lawmakers are asking for sworn statements from Trump administration officials and others who are involved in the issue. They seek information about what authorities were aware of concerning the payments and the time of the deal, per a Finance Feeds report.
The CLARITY Act Dispute
The World Liberty Financial debacle has come at a time when Congress is still working on the CLARITY Act. The bill seeks to define a set of rules for digital assets in America.
White House crypto adviser Patrick Witt has stepped into the fray over the legislation. Senate Democrats are trying to add an ethics measure that would prohibit federal officials, members of Congress and President Trump from creating, promoting or sponsoring crypto assets.
The provision could have a direct impact on crypto projects associated with Trump. It includes the World Liberty Financial and the TRUMP meme coin. Hence, Witt is trying to a cut a deal to ease the ethics provisions against Trump.
Why Trust CoinGape
CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights Read more… to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.
Delivered every day.
- Insights that move markets
- 100,000 active subscribers
