Sen. Elizabeth Warren (D-Mass.) and Sen. Jack Reed (D-R.I.) have reportedly raised concerns about the potential national security risks posed by Trump family-operated World Liberty Financial (WLFI).
Senators Flag Questionable Ties At WLFI
The Democratic senators, who are also minority members of the Senate Committee on Banking, Housing, and Urban Affairs, wrote a letter to Attorney General Pamela Bondi and Treasury Secretary Scott Bessent, expressing concerns about the lack of adequate safeguards at WLFI, as reported by CNBC on Tuesday.
The senators cited a September report from a non-profit corporate watchdog, Accountable.US, which highlighted the sale of $WLFI tokens by World Liberty Financial to entities with questionable ties.
These included traders linked to a North Korean hacking group, a sanctioned Russian “Ruble-backed sanctions evasion tool,” an Iranian crypto exchange, and Tornado Cash, a known money laundering platform.
Warren and Reed urged the Treasury and the Justice Department to submit information on possible enforcement actions related to World Liberty Financial by Dec. 1.
Trump Crypto Continues To Face Fire
This recent move by Warren and Reed is not the first time the Trump family’s cryptocurrency venture has come under scrutiny. In September, Warren criticized the Trump family’s reported $5 billion increase in paper fortune following the trading debut of WLFI as “corruption, plain and simple.”
Moreover, the Trump family also drew severe criticism for the controversial pardon of Changpeng Zhao, CEO of Binance, by President Donald Trump in October. It was reported that the pardon was linked to a substantial boost in the market capitalization of World Liberty Financial.
However, Trump denied knowing the Binance CEO personally, in a bid to distance himself amid the backlash. Sen. Chris Murphy (D-CT) responded to Trump's statements, saying, "Priceless / he thinks we are so dumb."
Price Action: At the time of writing, WLFI was trading at $0.1385, down 4.9% in the last 24 hours, according to data from Benzinga Pro.
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Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
