Senators call for investigation into World Liberty Financial, a crypto company linked to the Trump family.

According to CNBC, U.S. Senators Elizabeth Warren and Jack Reed have sent letters to the Department of Justice and the Treasury Department requesting an investigation into World Liberty Financial, a cryptocurrency company closely associated with the Trump family. The investigation stems from allegations that the company sold its $WLFI tokens to entities linked to illicit actors such as North Korea and Russia, raising national security concerns.

The senator cited a report from the nonprofit Accountable.US, which stated that WLF sold $WLFI tokens to “highly suspicious entities.” These entities were found to have transaction links on the blockchain to the sanctioned North Korean hacking group Lazarus Group, a Russian “ruble-backed sanctions circumvention tool,” an Iranian cryptocurrency exchange, and Tornado Cash.

According to the WLF website, Eric Trump, Donald Trump Jr., and Barron Trump are co-founders, and DT Marks DEFI LLC (affiliated with the president and his family members) holds the majority stake in WLF and is entitled to 75% of the proceeds from the sale of $WLFI tokens.

Senators argue that selling governance tokens to these entities not only directly benefits the Trump family but could also give illicit actors influence over WLF governance, demonstrating WLF's "lack of strong sanctions and anti-money laundering controls," and warn that this "risks greatly encouraging illicit financial activities."