Washington, June 24 (SocialNews.XYZ) US Senate Democrats accused President Donald Trump of allowing foreign financial interests to intersect with US national security policy, alleging that the United Arab Emirates received a series of favourable decisions after investing heavily in the Trump family's cryptocurrency business.
A report released by Democratic staff of the Senate Banking, Housing and Urban Affairs Committee, led by Ranking Member Elizabeth Warren, alleges that UAE-linked officials and entities invested hundreds of millions of dollars in World Liberty Financial (WLF), a cryptocurrency company launched by Trump and his sons, before receiving policy benefits from the administration.
The report claims the administration later took at least 10 actions that benefited the UAE, including measures involving advanced artificial intelligence chips, foreign investment approvals, arms sales and cryptocurrency regulation. It says the developments raise concerns about conflicts of interest and US national security.
“American families are worrying about their jobs, the rising cost of groceries, and how they're going to pay their bills. Meanwhile, President Trump is profiting from decisions that make it easier for countries like China to get their hands on some of our most sensitive and advanced technologies,” Warren said.
“Congress needs to grow a spine. We cannot allow American national security simply to be sold to the highest bidder.”
According to the report, UAE-affiliated officials and entities invested about $500 million in WLF four days before Trump's inauguration, acquiring nearly half of the company. The investment was reportedly backed by Sheikh Tahnoon bin Zayed Al Nahyan, the UAE's national security adviser.
The report says the deal generated at least $187 million for Trump family entities and at least $31 million for the family of Steve Witkoff, Trump's Middle East envoy and a co-founder of WLF.
Democrats also highlighted a subsequent transaction involving MGX, an investment firm controlled by Sheikh Tahnoon. According to the report, MGX announced a $2 billion investment in cryptocurrency exchange Binance using USD1, a stablecoin launched by WLF. The report argues that the transaction sharply increased the value of the Trump-linked venture.
A major focus of the report is G42, an Abu Dhabi-based artificial intelligence company chaired by Sheikh Tahnoon. The report cites previous concerns raised by US intelligence officials over G42's business relationships with Chinese firms, including Huawei and Beijing Genomics Institute.
It alleges that despite those concerns, the administration approved several decisions that benefited UAE technology ambitions.
Among the actions cited are approval of G42's investment in US AI chipmaker Cerebras, removal of Biden-era restrictions on advanced AI chip exports, approval of a $1.4 billion arms package for the UAE, and agreements allowing the country access to large quantities of advanced American semiconductors.
The report also points to the dismissal of a Securities and Exchange Commission lawsuit against Binance, a presidential pardon for Binance founder Changpeng Zhao, and approval for G42 to purchase 35,000 advanced Nvidia Blackwell chips.
Source: IANS
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