Senate Democrats seek hearings over UAE investment in Trump crypto venture

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Senate Democrats seek UAE-Trump crypto hearing

Highlights

Five Senate Democrats demand hearings into the UAE-linked $500 million, 49% stake acquisition of World Liberty Financial, closed days before Trump's inauguration and involving $218 million in upfront payments to Trump-connected entities.
Lawmakers connect the investment to subsequent U.S. policy shifts benefiting the UAE, including a May 2025 $1.4 billion arms sale, expedited CFIUS reviews, and approval for G42 to receive over $1 billion in Nvidia chips.
Scrutiny intensifies following state-backed MGX’s investment that boosted the Trump family's stablecoin market cap by nearly $2 billion in one day, escalating concerns over foreign influence on U.S. policy.

Senate push centers on stake sale and payments

As reported by CoinDesk, five Senate Democrats said in a June 23 letter that several Senate committees should examine whether the UAE-linked investment in World Liberty Financial affects U.S. policymaking. The letter is signed by Senators Elizabeth Warren, Richard Blumenthal, Gary Peters, Richard Durbin and Ron Wyden, and it calls for sworn testimony on what the administration knew about the deal and related payments.

The senators say associates of an Abu Dhabi royal agreed to buy a 49% stake in World Liberty Financial for $500 million. They add that the deal closed four days before Trump's inauguration last year and reportedly included $218 million in upfront payments to entities tied to the Trump family and to Steve Witkoff, Trump's lead diplomat for the Middle East and Russia.

The arrangement is reportedly backed by Sheikh Tahnoon bin Zayed Al Nahyan, the UAE's national security adviser. In the letter, lawmakers describe the transaction as an unprecedented case of a foreign government official taking a major ownership stake in a company tied to an incoming U.S. president.

Policy decisions and wider influence concerns

Lawmakers also point to a series of later administration moves that they say benefit the UAE. They cite a May 2025 approval of a $1.4 billion arms sale, the creation that same month of a "Known Investor Pilot" program to speed investment reviews through CFIUS, and the removal of Biden-era chip export restrictions that expands the UAE's access to advanced semiconductors.

The letter also highlights authorization for G42, a UAE artificial intelligence company chaired by Sheikh Tahnoon, to receive 35,000 Nvidia Blackwell chips in a deal valued at more than $1 billion. Senators argue these steps deepen the need for hearings because they follow closely after the World Liberty Financial investment and could reinforce concerns that foreign capital is shaping U.S. policy.

Those concerns build on earlier scrutiny of UAE-linked activity in crypto markets, including a large investment by state-backed MGX that reportedly increased the market capitalization of the Trump family's stablecoin by nearly $2 billion overnight. The lawmakers say administration officials must explain under oath what they knew about payments to the families of the president and his senior diplomat, and how they will restore confidence that public policy serves the American public rather than private interests.

In our earlier article, we covered rising congressional scrutiny of UAE-linked money flowing into the Trump family’s crypto business, World Liberty Financial, including a reported $500 million purchase for a 49% stake shortly before the inauguration. We noted lawmakers’ concerns that subsequent U.S. policy moves benefiting the UAE—such as arms approvals and AI chip authorizations—could indicate conflicts of interest and foreign influence, prompting calls for sworn testimony and hearings.

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