Trump’s Crypto Activities Slammed by Democrats

Virginia Democrat Gerard Connolly has appealed to the Committee on Oversight and Government Appeal to investigate President Trump's conflicts of interest concerning his crypto ventures, stating that he is “unlikely to uphold any provisions from the Presidential Ethics Reform Act.”

In the Jan. 21 letter, Connolly claimed that influence peddling is rampant in the incoming Trump administration and that presidential conflicts of interest are rapidly growing.

Connolly said that Trump’s crypto endeavors place him in a position where foreign actors can buy his favor and even funnel money directly to him, citing several examples.

One example is the case of Justin Sun, who wasn’t referred to by name. Although Sun is under investigation by the Securities and Exchanges Commission (SEC) for alleged securities fraud, he invested $30 million into Trump’s World Liberty Financial, allowing the company to reach the target where profits would be released to the Trump Family.

Connolly also cited Trump’s recent memecoin launch, stating that although the memecoin was sold to the public, CIC Digital LLC, an affiliate of the Trump Organization, owns 80% of the total supply.

TRUMP’s current valuation is $35 billion, which makes CIC Digital LLC’s tokens worth approximately $28 billion, although they would likely fetch a far smaller sum if sold due to being illiquid.

Connolly reiterated earlier concerns expressed by ethics experts that Trump is profiting from the presidency by creating a financial instrument for people to transfer money to his family in connection with his office.

Several U.S. government officials have criticized Trump for his conflicts of interest. In a Jan. 20 Reuters article, Danielle Brian, head of the watchdog group Project on Government Oversight, said Trump’s crypto moves were a “blatant financial conflict of interest on behalf of the president.”

Representative Maxine Waters also blasted Trump’s move to launch a memecoin, saying in an official statement that he had “created a way to circumvent national security and anti-corruption laws, allowing interested parties to anonymously transfer money to him and his inner circle.”