Permanent Subcommittee on Investigations Opens Inquiry into Trump Crypto Corruption

[WASHINGTON, D.C.] – U.S. Senator Richard Blumenthal (D-CT), Ranking Member of the U.S. Senate Permanent Subcommittee on Investigations (“PSI”), is opening a preliminary inquiry into the $TRUMP cryptocurrency, World Liberty Financial Inc. (WLFI), and other associated business ventures following recent reporting that Trump-connected cryptocurrency firms may be enabling the violation of government ethics requirements, facilitating financial transactions with foreign nationals under federal prosecution, taking investments from foreign governments, and potentially violating federal laws.

In a letter sent today to Fight Fight Fight LLC – the company that launched President Donald Trump’s cryptocurrency, the $TRUMP “meme coin” – Blumenthal demanded answers about steps the company has taken to address conflicts of interest posed by the President’s ability to profit from the market value and activity of the token. Blumenthal’s letter comes after Fight Fight Fight promoted a private dinner with President Trump and a VIP White House tour for top token holders, which pumped the value of $TRUMP to the financial benefit of the President.

“President Trump’s financial entanglements to the $TRUMP coin, as well as the attempted use of the White House to host competitions to prop up the value of $TRUMP, represents an unprecedented, pay-to-play scheme to provide access to the Presidency to the highest bidder. Chillingly, $TRUMP allows, and even invites,  anyone in the world, including foreign governments and unscrupulous individuals, to directly enrich the President, while hiding potential payoffs in the pseudonymity of the blockchain,” Blumenthal wrote in a letter to reported Fight Fight Fight developer, Bill Zanker.

Blumenthal continued, “This threat is not hypothetical: According to a ‘leaderboard’ for the competition, the top holder of $TRUMP is Justin Sun, holding nearly 1.4 million coins.  Mr. Sun is currently facing a civil fraud case from the Securities and Exchange Commission over allegations of market manipulation and unregistered asset sales, which he is attempting to favorably settle after President Trump’s SEC paused litigation.”

Blumenthal is also seeking answers from Zach Witkoff, the co-founder of another Trump-connected cryptocurrency firm, WLFI. In a letter sent today to Witkoff, Blumenthal requested information about how the President may be violating the law and using the immense power of the federal government to enrich the company, its foreign business partners, and others in the cryptocurrency industry, rather than look out for American economic and national interests. In particular, Blumenthal raised concerns that a recently announced deal with the Emirati state-owned investment firm MGX, in addition to future investments from foreign governments, could violate the ban on foreign gifts and payments under the foreign emoluments clause of the Constitution.

“WLFI’s financial entanglements with the President, his family, and the Trump Administration present unprecedented conflicts of interest and national security risks, including potential violations of the foreign emoluments clause.  President Trump has used the federal government to enrich cryptocurrency firms through the creation of a Strategic Bitcoin Reserve and United States Digital Asset Stockpile, and used the White House to promote cryptocurrencies (including inviting you to the first ‘crypto summit’).  Trump has also abandoned enforcement of securities and fraud cases against cryptocurrency firms,  even pardoning the founders of BitMex, which was found guilty of money laundering. Finally, WLFI business partners and other cryptocurrency interests donated millions of dollars to the President’s inauguration fund,” Blumenthal wrote in a letter to Witkoff.

Blumenthal is also seeking records and documents from both organizations, including communications between the companies and the Trump Organization, the President, the Executive Office of the President, and foreign governments.

The full text of Blumenthal’s letter to Fight Fight Fight is available here and below. The full text of Blumenthal’s letter to WLFI is available here.

Dear Mr. Zanker:

The Permanent Subcommittee on Investigations (“PSI” or “the Subcommittee”) is conducting a preliminary inquiry into potential conflicts of interest and violations of the law from President Trump’s cryptocurrency ventures, including the $TRUMP cryptocurrency and associated businesses’ financial dealings with foreign nationals, foreign governments, and other cryptocurrency firms.

Recent reports indicate that Fight Fight Fight LLC may be enabling the violation of government ethics requirements, facilitating financial transactions with foreign nationals under federal prosecution, and potentially violating federal laws, including with its promotional private dinner with President Trump scheduled to take place on May 22, 2025.[1] I therefore write to request information and records regarding the ownership and financial structure of Fight Fight Fight LLC, foreign investments in the $TRUMP coin, and the steps that you have taken to address the potential for significant conflicts of interest posed by this business venture.

            On January 17, 2025, Fight Fight Fight LLC launched the “OFFICIAL TRUMP” ($TRUMP) cryptocurrency, a ‘meme coin’ (a type of asset purchased “for entertainment, social interaction, and cultural purposes” with its value “driven primarily by market demand and speculation”[2]).[3] The $TRUMP website states in its disclaimers that the product is “not intended to be… an investment opportunity,” but rather “an expression of support for, and engagement with, the ideals and beliefs embodied by the symbol ‘$TRUMP’”—making it a Trump-endorsed cryptocurrency to demonstrate support for the President.[4] President Trump himself promoted the venture at the time of launch,[5] and then on multiple occasions since, encouraged investors to “join my very special Trump Community.”[6]

Within two days of launch, the price for $TRUMP had skyrocketed over ten times to $74.27.[7] However, it fell again just as quickly, reaching as low as  $7.42 by April 8.[8] This activity mirrors a common pattern in the cryptocurrency market known as a “pump and dump,” “rug pull,” or “rug” whereby a select group of insiders makes a large profit off of a new crypto before the price collapses.[9] Indeed, the sale of $TRUMP prompted speculation that a select group of insiders gained early access to a lower price before the project was shared with the public.[10]

            In the face of dwindling value and steep losses for hundreds of thousands of investors,[11] on April 23, Fight Fight Fight LLC announced a “Dinner with Trump" competition that promised an evening with the President to discuss cryptocurrency policy at Trump National Club in Washington, D.C. for the top 220 holders of its coin.[12] In addition to the dinner, the promotion offered a “Special VIP White House Tour” for the top 25 holders, which was quietly revised to remove reference to the White House.[13] The scheme to pump $TRUMP again after months of floundering worked. Within hours, its price rose more than 50 percent with a significant surge in trading volume, and remains near $11 (compared to its April low of $7.24).[14]

            As his endorsement, promotion, and participation of $TRUMP suggests, President Trump financially benefits from the market value and activity of the $TRUMP cryptocurrency.[15] Fight Fight Fight LLC and CIC Digital LLC, an affiliate of The Trump Organization,[16] collectively own 80 percent of the one billion issued coins (currently worth $10.4 billion in market value[17]). Additionally, both companies (as well as the affiliated “Celebration Cards LLC”[18]) receive transaction fees derived from trading activities, making surges in trading from President’s promotion of the coin and competition particularly lucrative.[19] According to analytics firms, the $TRUMP coin has generated $350 million in fees for Fight Fight Fight LLC and its partners, including nearly $1 million since the “Dinner with Trump" announcement.[20]

            President Trump’s financial entanglements to the $TRUMP coin, as well as the attempted use of the White House to host competitions to prop up the value of $TRUMP, represents an unprecedent, pay-to-play scheme to provide access to the Presidency to the highest bidder. Chillingly, $TRUMP allows, and even invites,[21] anyone in the world, potentially even foreign governments and unscrupulous individuals, to directly enrich the President, while hiding potential payoffs in the pseudonymity of the blockchain.[22] In addition to glaring conflict of interest and ethical issues, foreign government purchase of $TRUMP would violate the foreign emoluments clause of the Constitution.[23] This threat of influence is not hypothetical: According to a “leaderboard” for the competition, the top holder of $TRUMP is Justin Sun, holding nearly 1.4 million coins.[24] Mr. Sun is currently facing a civil fraud case from the Securities and Exchange Commission over allegations of market manipulation and unregistered asset sales, which he is attempting to favorably settle after President Trump’s SEC paused litigation.[25]

            Therefore, pursuant to Senate Resolution 59 (118th Cong.) and Rule 1 of the Permanent Subcommittee on Investigations, to assist the Subcommittee’s understanding what steps Fight Fight Fight LLC and its business partners in the $TRUMP cryptocurrency venture have taken to address conflicts of interest or foreign influence, and to ensure that transactions or promotional activities related to its cryptocurrencies do not threaten the safety and wellbeing of American citizens or violate state and federal law, please provide the following information to the Subcommittee by May 19, 2025:

1. Please describe the ownership and management structure of Fight Fight Fight LLC, including providing a list of all owners, investors, employees, advisors, and consultants to the corporation.
   
   
2. Please describe the financial and operational relationships between Fight Fight Fight LLC, and CIC Digital LLC, The Trump Organization, Celebration Cards LLC, and DTTM Operations LLC.
   
   
3. Please describe any financial and operational relationships, or communications, with World Liberty Financial Inc., WLF Holdco LLC, or DT Marks DEFI LLC.
   
   
4. Please describe the nature and extent of communication between Fight Fight Fight LLC and the President, the Executive Office of the President and other federal agencies, including regarding the initially offered “Special VIP White House Tour” under the “Dinner with Trump" competition.
   
   
5. Has Fight Fight Fight LLC investigated any allegations or risks of insider trading or advanced notice relating to the launch of the $TRUMP, promotional social media statements from the President, or the announcement of the “Dinner with Trump" competition?
   
   
6. Please describe any policies in place to restrict insider trading or anticompetitive behavior connected to $TRUMP.
   
   
7. Please provide the total gross revenue generated by $TRUMP to date , disaggregated based on coin sales, transaction fees, or any other sources, and identify how those revenues are shared among participants in the venture.
   
   
8. Please describe WLFI’s policies and procedures to identify and prevent investments from the foreign governments and stated-owned entities, and to ensure WLFI’s operations do not violate the foreign emoluments clause of the Constitution.
   
   
9. Does Fight Fight Fight LLC plan to invite or allow participation from other members of the Trump Administration in the “Dinner with Trump" competition, including individuals responsible for oversight or law enforcement activities with respect to cryptocurrencies?
   
   

10)  Will Fight Fight Fight LLC prevent and screen against the participation of individuals who are facing federal prosecution or investigations from the “Dinner with Trump" competition?

In addition, please produce the following records pertaining to Fight Fight Fight LLC’s involvement and operation of the $TRUMP cryptocurrency and the “Dinner with Trump" competition.

1. All communications between Fight Fight Fight LLC and the Trump Organization, the Executive Office of the President, other entities owned or associated with President Trump, and other members of the Trump Administration.
   
   
2. All records referring or related to policies and procedures regarding conflicts of interest, foreign influence, or national security risks, including but not limited to:
   
   
   1. Communications, payment records, analyses, or records, including registration or purchase information, pertaining to foreign ownership and trading in the $TRUMP coin, and the participation from foreign nationals in the “Dinner with Trump" competition.
      
      
   2. Policies and procedures to ensure business partners in $TRUMP, including the President, will not abuse their position within the federal government for financial gain.
      
      
   3. Policies and procedures to ensure business partners, staff, and their associates in $TRUMP, including the President, will not abuse their position or private knowledge to facilitate or engage in insider trading.
      
      
3. All records referring or relating to the operation and launch of $TRUMP and the “Dinner with Trump" competition, including but not limited to:
   
   
   1. Communications and records regarding the launch of $TRUMP, including notification or sharing of information prior to the launch of $TRUMP and any pre-launch purchase of $TRUMP.
      
      
   2. Contracts, agreements, or memos of understanding on the operation and financial arrangements between Fight Fight Fight LLC and its business partners in the operation of $TRUMP.
      
      
   3. Registration information provided to Fight Fight Fight LLC for the “Dinner with Trump” leaderboard and invitations.
      
      
   4. Communications or agreements regarding offering of a “Special VIP White House Tour” and the subsequent removal of the offer.
      
      

Please contact the Subcommittee should you have any questions about responding to these requests.  Thank you for your attention to this matter.

Sincerely,

-30-