World Liberty Financial has come under scrutiny over an alleged behind-the-scenes deal with the UAE’s national security adviser after top Democratic lawmakers raised concerns about national security risks and possible criminal conduct. On Monday, Senator Chris Murphy (D-CT) alleged that covert payments linked to a United Arab Emirates investor may have paved the way for the transfer of sensitive US defence technology. “A UAE investor secretly gave Trump $187 million and his top Middle East envoy $31 million. And then Trump gave that investor access to sensitive defense technology that broke decades of national security precedent,” Murphy said on social media. The remarks follow a report by The Wall Street Journal, which revealed that Aryam Investment 1, a UAE-backed vehicle tied to national security adviser Sheikh Tahnoon bin Zayed, had quietly acquired a 49% stake in WLFI. According to sources and internal company documents reviewed by the outlet, the first instalment of the deal totalled $250 million. Of that, $187 million went to Trump-affiliated entities, and another $31 million was routed to businesses connected to WLFI co-founders Zak Folkman and Chase Herro. Trump’s former envoy to the Middle East, Steve Witkoff, is also linked to the project and appears on WLFI’s site as a co-founder emeritus. The firm says neither Witkoff nor the Trump family hold any executive or operational roles within the company, which is the issuer of the USD1 stablecoin. The deal was reportedly signed on January 16 by Eric Trump, just four days ahead of his father’s inauguration. WLFI has not confirmed or denied the investment. Sheikh Tahnoon’s ties with World Liberty Political figures and watchdogs have questioned whether the timing of the deal may have had downstream implications. The agreement came shortly before the Trump administration approved expanded access for the UAE to acquire advanced US-made AI chips, easing long-standing export restrictions that had remained in place under the Biden administration. Sheikh Tahnoon, who is regarded as a central figure in the UAE’s tech and intelligence apparatus, chairs the Abu Dhabi-based AI firm Group 42. The USD1 stablecoin, developed by WLFI, has also played a key role in a separate transaction led by MGX, another Tahnoon-chaired firm. According to public disclosures, MGX used USD1 to settle a multi-billion dollar investment in crypto exchange Binance. While Tanhoon’s involvement remains unconfirmed, publicly available information reveals the Trump family has steadily reduced its exposure to WLFI. Corporate filings for DT Marks DEFI LLC, the Trump-linked holding company has scaled back its stake from 75% in December 2024 to 40% by June 2025. Reports at the time estimated the move may have generated as much as $190 million in proceeds, with Donald Trump personally receiving a significant portion. Trump denies involvement When asked about the deal in a recent media appearance, Trump distanced himself from the transaction . “I don’t know about it,” he said, adding, “I know that crypto is a big thing. My sons are handling that, my family is handling it. I guess they get investments from different people.” The denial has done little to ease tensions on Capitol Hill, where several lawmakers say the situation warrants a deeper investigation. According to Senator Murphy, the sequence of payments in this case, followed by policy concessions, appeared to resemble a textbook case of bribery. “That is corruption. Those are the elements of a bribe. This is potentially criminal conduct,” Murphy said. He also cautioned that legal action may take time but stressed that “the rule of law is coming back,” adding that those involved “are going to jail.” “Trump gets $500 million in cash, then approves deal sending advanced AI chips to UAE. Blatant corruption. He gets richer every day. You get poorer. That’s his presidency,” Representative Greg Landsman echoed in a Monday X post . The latest controversy builds on prior warnings from Senator Elizabeth Warren, who has repeatedly voiced concerns about the Trump family’s financial entanglements in the crypto sector. The post US senator warns of possible criminal conduct in $500M WLFI-UAE deal appeared first on Invezz
