A senior U.S. House Democrat has launched an investigation into the Trump family’s crypto business, WLFI, following reports that a company, Aaryam Investment 1, with ties to the United Arab Emirates acquired a 49 percent stake in the company.
Aaryam Investment 1 is reportedly linked to Sheikh Tahnoon bin Zayed Al Nahyan, a UAE national security advisor and brother of the UAE president, with the stake in WLFI expected to be worth $500 million.
The investigation was launched by Rep. Ro Khanna to look into the nature of the investment, as well as whether there are any foreign influences and/or regulatory or national security issues.
Representative Ro Khanna is a Democrat and a member of the United States House of Representatives, representing California’s 17th congressional district.
The probe aims to review whether the deal influenced U.S. policy on advanced AI chip exports to the UAE.
The stake sale has drawn attention on Capitol Hill, with lawmakers said to be examining financial documents, communications, and any ties between WLFI’s management and foreign investors.
This is not an isolated case of congressional scrutiny of foreign investments in U.S. companies, especially in industries where strategic or sensitive information may be involved.
U.S. lawmakers’ probe follows media expose
U.S. lawmakers have opened an investigation after a UAE-linked firm bought a nearly half stake, nearly 49 percent worth about $500 million, in the Trump family’s cryptocurrency company.
The timing of the acquisition has sparked intrigue, as it allegedly occurred only four days before the second inauguration of President Donald Trump.
According to reports, the UAE-connected firm has been linked to Sheikh Tahnoon, who has previously lobbied the U.S. government for “access to cutting-edge AI technology.”
The inquiry is expected to examine issues related to national security, the impact of foreign investments on political or business choices, and the larger implications of foreign investments in the U.S.-connected cryptocurrency projects.
Deal reportedly allowed use of advanced AI chips
Reports indicate that the deal funnelled around $187 million into Trump family entities and $31 million to entities connected to Steve Witkoff’s family.
Within months of the deal, the Trump administration reversed Biden-era restrictions, granting export licenses that allowed the UAE access to tens of thousands of advanced AI chips previously blocked due to concerns they could be diverted to China.
In a letter to World Liberty Financial CEO Zach Witkoff, Representative Ro Khanna warned that the transaction “may have contributed to changes in U.S. policy intended to prevent the diversion of advanced artificial intelligence chips to China from the UAE.”
He noted this could undermine America’s competitive edge against China and raise serious national security concerns.