Trump used the presidential seal at a private crypto event which may violate federal law.
Lawmakers raised concerns over foreign nationals attending and possibly gaining political access.
The $TRUMP memecoin event has sparked calls for a Justice Department investigation into ethics violations.
Former President Donald Trump is under scrutiny for using the official presidential seal during a private cryptocurrency event. The gathering took place at Trump National Golf Club in Virginia and hosted around 220 investors. The event focused on his memecoin project, $TRUMP, raising legal and ethical concerns.
https://twitter.com/TheKcoin/status/1926219491672727817 Use of Presidential Seal Raises Legal Concerns
The presidential seal appeared on the lectern where Trump delivered remarks to attendees. Under U.S. law, unauthorized use of the seal can result in fines or jail time. Officials argue the display could imply government approval or sponsorship of a private venture.
The use of the seal is prohibited for commercial or political activities by federal law. Violations may result in penalties such as six months in prison. There is a concern among some that the use of the seal at a private event might go too far legally.
Questions Mount Over Foreign Influence
Lawmakers are also raising alarms about potential foreign influence. A letter sent to the Justice Department on May 22 requested an investigation. A group of thirty-five House members urged officials to look into whether the event did not follow bribery or emoluments laws.
The emoluments clause stops presidents from taking gifts or money from foreign governments unless Congress approves it. According to Bloomberg, a large number of attendees were connected to foreign crypto exchanges. This raises concerns about foreign nationals gaining access through financial involvement.
According to the letter, promoting access to Trump through investment could open a path for foreign interests to buy influence. U.S. law bans political contributions from foreign sources. Lawmakers argue that crypto promotions like this may bypass those restrictions.
Trump’s Shift on Crypto Raises Eyebrows
Trump’s current crypto involvement marks a notable shift from his previous stance. During his first term, he remained skeptical about cryptocurrencies. In contrast, he now openly backs the $TRUMP memecoin and related ventures.
The memecoin launched earlier this year and experienced a volatile trajectory. It peaked at $74.34 before plunging to $14.44 by May 22. Despite the dip, Trump continues promoting the project to potential investors and allies.
High-Profile Figures Join Event
Several well-known figures attended the event. These included Tron founder Justin Sun, former NBA player Lamar Odom, and crypto executives Sangrok Oh and Vincent Liu. Sun, a key investor in the $TRUMP token, has reportedly invested over $40 million in the venture.
Sun is also linked to World Liberty Financial, a firm tied to Trump’s crypto efforts. That firm now faces regulatory scrutiny, adding to the controversy.
Trump’s arrival at the venue via military helicopter further fueled criticism. Some observers say the imagery could mislead the public about the event's official nature.
