Trump’s Crypto Connections are being pressed by law enforcement for information.

A$ 400 million crypto payday tied to the Trump family is now the focus of an escalating political blitz, which politicians fear could compromise the validity of American financial regulation.

Sens. Maxine Waters (D-CA ) and Sen. Elizabeth Warren (D-MA ) sent a joint letter to SEC Acting Chair Mark Uyeda on April 2 requesting” all records and communications regarding World Liberty Financial, Inc.,” the crypto firm that Trump associates have established and that President Donald Trump’s family has heavily promoted.

The family’s extensive economic engagement with the company “represents an extraordinary conflict of interest with the potential to influence the Trump Administration’s oversight of the crypto business,” the Senate Banking and House Financial Services Committees wrote in a furious four-page text.

The letter urges the SEC to keep and provide records that date back to the day WLFI started selling its$ WLFI token through an already-exempt securities offering, which has already generated$ 550 million.

Through a company called DT Marks DEFI LLC, SEC files and investigative reporting reveal that WLF has a close relationship with Donald Trump, Donald Trump Jr., and Eric Trump. &nbsp,

The Trump family claims 60 % of operating income, an estimated$ 390 million, and 75 % of token revenue.

The politicians even questioned the SEC’s sudden halt in its investigation into Tron founder Justin Sun, who invested$ 75 million into WLFI after being accused of fraud in 2023.

Under Acting Chair Mark Uyeda, the SEC has shifted from sanitizing a rigged police to a more hands-off strategy, pausing or dropping numerous crypto-litigations, including those involving cases against Coinbase, Kraken, Uniswap Labs, and OpenSea, among people.

Concerns about regulation bias were sparked by the SEC’s covert halt of its investigation against Sun in February. &nbsp,

Warren and Waters requested that the SEC keep” all internal memos defending the first enforcement choice,” including records of meetings and contacts between SEC officials and Justin Sun or Trump family members.

The politicians also asked to keep the” contacts, suggestions, or directives” the White House or the Trump home, if any, to the SEC regarding the case involving WLFI or Sun, as well as whether the company had consultation with ethics authorities regarding the Trump mother’s crypto assets.

Partisan Fight Amid Trump Ties: Bitcoin Ballot Sparks Partisan Clash

The House Financial Services Committee on Wednesday passed the STABLE Act, a bill that would establish a regulatory framework for stablecoins, in a 32–17 vote, raising tensions between Trump and his bitcoin relations on Capitol Hill. &nbsp,

As legislators were preparing to vote on the policy, a timing that additional raised concerns about social influence, led to the launch of the USD1 stablecoin, which is supported by Trump.

Democrats introduced modifications to make it illegal for the leader and senior officials to introduce for financial products while in business. The Democratic majority rejected each of them.

In light of this, Warren and Waters ‘ letter succinctly stated,” The American people deserve to know whether their financial markets are being regulated impartially or whether regulatory decisions are being made in the interests of the President’s family’s financial interests,” in a letter that was written in this context.

The SEC has until April 14 to listen. The controversy over crypto regulation, which is currently rife with claims of national interests, shows no signs of cooling down until then.

edited by Sebastian Sinclair