Trump Family's Cryptocurrency Platform Sparks Controversy

Zach Witkoff, co-founder of the cryptocurrency platform World Liberty Financial (WLFI), backed by the Donald Trump family, has dismissed the request for an investigation from U.S. lawmakers regarding the president's potential conflict of interest. In a letter sent on May 15 to Senator Richard Blumenthal, WLFI's attorney argued that the investigation request was based on erroneous and inaccurate assumptions. Witkoff did not specifically address any allegations, only asserting that WLFI is too busy building to be under scrutiny.

The letter stated, "The company rejects the false choice between innovation and oversight," and "Opposes the abuse of regulatory power and uncertainty to stifle legitimate innovation."

Blumenthal, a senior member of the U.S. Senate Permanent Subcommittee on Investigations, along with several other Democrats, has called for an investigation and changes to the laws regarding Trump's relationship with WLFI and his TRUMP memecoin. A meeting evening for top Token holders is scheduled for May 22. The GENIUS bill, currently under consideration in Congress, could be a sign of how lawmakers will address the president's potential conflicts of interest.

One of Blumenthal's and many U.S. lawmakers' concerns is the USD1 stablecoin, issued by WLFI in March. An investment company based in Abu Dhabi announced it would use this stablecoin to settle a $2 billion investment in Binance, the cryptocurrency exchange that had been investigated by the U.S. government.

Blumenthal wrote in a letter dated May 6 to Witkoff that the financial relationship between WLFI and Trump and his family poses an unprecedented conflict of interest and national security risks, including the potential violation of foreign interest provisions.

Some Democrats are calling for clarification in the GENIUS bill to ensure that Trump cannot personally benefit from the Stablecoin he may have influenced the legislation and had the opportunity to sign into law. As of May 16, it remains unclear whether any future votes on this bill will address these concerns.

Source: https://tintucbitcoin.com/world-liberty-financial-binh-than-truoc-lo-ngai-quoc-hoi/

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