- Blumenthal launched an investigation into Trump's crypto adventures
- Letters were sent to Trump Memecoin and World Liberty Financial Executives
Senate Democrat Richard Blumenthal has begun an initial inquiry into Crypto connections by President Donald Trump. He has raised concerns about potential conflicts of interest and legal violations.
As a member of the member of the Senate Permanent Subcomm Committee on Investigations, Blumenthal sent a formal Inquiry letters Tuesday to executives in two companies associated with Trump. Bill Zanker of the Fight Fight LLC, in charge of Trump's official Memecoin, and Zach Witkoff of the World Liberty Financial are the Trump companies who have received a inquiry letter.
Growing Democratic Opposition to Trump's Crypto Crypto
The investigation represents a new height in the democratic opposition to Trump's widespread Cryptocurrency Business Business Business since his inauguration of the President in January. Through his letter, Blumenthal demands comprehensive information about the ownership structure, including financial arrangements and approaches to alleviating the uprising from both companies.
For Trump's Memecoin, Blumenthal emphasized concerns about “pumps and dumps” volatility patterns and allegations that the insider benefited during its launch. He specifically criticized the promotion of “Dinner with Trump” who promised the top token holders one night with the President. He called it a “never happened, pay-to-play scheme to provide access to the presidency to the highest bidder.”
Regarding the World Liberty Financial, Blumenthal said the Trump family “reap great financial benefits” from WLFI. His letter warns that adventure can invite investment from foreign governments and unscrupulous individuals, who potentially create security threats.
The inquiry came amid Trump's growing democratic resistance to the agenda of cryptocurrency. The House Democrats had boycotted a scheduled hearing in the crypto industry on Tuesday, rather than holding their own separate meetings.
Meanwhile, nine Senate Democrats recently announced that they could not support the suggested Stablecoin Regulation Bill (Genius Act). They will not agree without the stronger provisions of anti-money laundering and restrictions on foreigners.
Representative Maxine Waters expressed a particular concern about Trump's launch of his own stablecoin through WLFI. Water -stated,
“I have talked to my colleagues throughout the hallway for the past three years to create a safe framework of regulation for Stablecoins. Now, we are pushing the law as fast as possible without considering some of the major issues that affect American and consumers investors.”
The investigation represents the most direct challenge of Trump's unmistakable cryptocurrency activities while serving as president.
Highlighting Crypto news today:
Titecoin Lights Charts: Will the rally continue after a 11% advance?
Share
