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Rep. Maxine Waters has once again criticized the many Trump crypto ventures, warning of ethical risks and conflicts of interest tied to the current US president’s digital asset initiatives.
According to a press release by the Republican lawmaker, the congresswoman, who is also a member of the House Financial Services Committee, is accusing President Donald Trump of using his crypto initiatives to amass wealth at the expense of investors and the general public.
Trump has Doubled his Wealth through Crypto.
In a fiery House hearing, Waters gave the example of the official Trump meme coin, $TRUMP, which has lost over 89.93% of its value from the all-time high of $75.35 achieved sometime in January. According to the lawmakers, the meme coin was fraudulent and was one of the Trump crypto ventures that helped the President double his wealth. Waters stated:
“President Trump has doubled his wealth, from $2.3 billion to $5.6 billion. His fraudulent meme coin lost investors $2 billion, while he and his family pocketed at least $350 million.”
Rep. Maxine Waters further highlighted other Trump crypto ventures like World Liberty Financial, alleging that the project was a conduit used by domestic and foreign actors to influence US policy. She lamented:
“I am deeply concerned that these ventures have created an avenue for interested parties, whether allies or adversaries, to anonymize money to him and his inner circle.”
Trump, the “King of Crypto”
When the lawmaker didn’t spare the Senate subcommittee on digital assets, financial technology, and artificial intelligence, she suggested that the committee was only interested in rubber-stamping the President’s crypto ambition. She added:
“This committee is helping Trump. Last week, this committee voted to make Trump the “king of crypto” by passing legislation that lets him corner the market on stablecoins, kick George Washington off the dollar, and make his stablecoin legal tender.”
Bipartisan Efforts to Bring Clarity and Stability
The remarks by Rep. Maxine Waters come amid an ongoing push for regulatory clarity regarding digital assets. The goal of the hearing, in which Waters gave her sentiments, is to find ways to align US securities laws with the emerging reality of the digital age, especially regarding cryptocurrencies.
During the same session, House Financial Services Committee Chairman French Hill praised the “bipartisan efforts to bring clarity and stability” to digital assets. Hill said he looked forward to seeing meaningful legislation by the end 2025. Rep. Hill said:
“It is incumbent on us to build on that momentum and continue working toward a comprehensive regulatory framework that establishes clear rules of the road for digital asset markets… I look forward to hearing from our witnesses today and working with colleagues to get this across the finish line this year.”
Conclusion
Rep. Maxine Waters and Senator Elizabeth Warren have long criticized the US President for wanting to deregulate crypto assets. Both Waters and Warren have demanded regulation that could ensure the numerous Trump crypto ventures don’t benefit from the anticipated crypto regulations due to potential conflict of interest.
They have accused members of the committee of favoritism toward the Trump crypto ventures that they claim are making him “crypto king.”
Frequently Asked Questions (FAQs)
Is Trump involved in the $TRUMP coin?
The meme coin’s website states that the token is owned by two entities associated with the President – CIC Digital LLC and Fight Fight Fight LLC, which together hold 80 percent of the coins remaining after the ICO.
Does Trump own World Liberty Financial?
Most believe World Liberty Financial is directly connected to crypto president Donald Trump. According to the website, the family claims 75% of net revenues from World Liberty’s token sales.
What is Maxine Waters afraid of about Trump’s crypto businesses?
Congresswoman Waters has warned of ethical risks and conflicts of interest tied to Trump’s digital asset initiatives, believing he will benefit directly from any crypto laws he signs into law.
Appendix: Glossary of Key Terms
Crypto: A type of digital currency that allows people to make payments directly to each other through an online system.
Conflict of interest: A situation in which a person can derive personal benefit from actions or decisions made in their official capacity.
Reference
Senate Financial Services Committee
