- Democrats demand Treasury release SARs tied to Trump-linked crypto ventures.
- Lawmakers raise concerns over foreign influence and market manipulation via Trump memecoins.
Democratic lawmakers in the U.S. have increased scrutiny of President Donald Trump’s connections to the crypto industry.
They are urging the Treasury Department to reveal any suspicious activity reports (SARs) tied to his digital ventures.
Trump-linked crypto ventures under Democrats’ radar
In a formal letter written on the 14th of May, Representatives Gerald Connolly, Joseph Morelle, and Jamie Raskin requested access to SARs filed since 2023 concerning World Liberty Financial and the Official Trump token.
The letter noted,
“We write regarding the potential misuse of certain politically oriented fundraising ventures for fraudulent, corrupt, or other illegal purposes.”
Needless to say, the lawmakers’ letter highlights concerns over multiple Trump-linked crypto ventures.
It specifically calls out World Liberty Financial and the President’s Solana [SOL]-based memecoin as major areas of scrutiny.
Allegations include bribery, influence-peddling, market manipulation, and deceptive practices targeting vulnerable Americans.
World Liberty Financial’s WLFI token initially struggled to raise funds. It later saw a boost from Justin Sun.
Sun, a prominent crypto figure, remains under SEC scrutiny. His involvement has raised further concerns among lawmakers.
The letter also flagged Trump and Melania-branded meme tokens. Trump has repeatedly endorsed his token on social media. The letter added,
“Because the identities of the coin purchasers need not be publicly disclosed, there is no way to tell who is buying the coin, potentially allowing bad actors, including authoritarian governments and companies they control, to enrich the Trump family.”
Ongoing concerns
Thus, as Trump’s crypto ventures expand, so do concerns over their ethical and regulatory implications.
In fact, previously too, his Solana-based memecoin ecosystem has triggered backlash from lawmakers, with Senators Elizabeth Warren and Adam Schiff calling for an ethics investigation into a controversial gala dinner linked to token holders.
Though organizers now distance the event from the White House, questions persist about foreign influence and political favoritism.
Allegations of a “pay-to-play” model and hints of market manipulation continue to cloud the initiative, further intensified by the SEC’s cautious stance on enforcement.
In conclusion, Democratic lawmakers defended their probe as an effort to assess whether new legislation is needed to prevent violations.
These include campaign finance breaches, consumer protection failures, bribery, securities fraud, and other corruption-related offenses.
With concerns mounting in Washington, scrutiny of Trump’s crypto dealings is unlikely to fade anytime soon.
