U.S. Senator calls for investigation into Trump family-linked cryptocurrency company World Liberty Financial

According to CNBC, U.S. Senators Elizabeth Warren and Jack Reed have written to the Department of Justice and the Department of the Treasury, requesting an investigation into the cryptocurrency company World Liberty Financial, which is closely associated with President Trump's family. The reason for the investigation is that the company is suspected of selling its $WLFI tokens to entities linked to illegal actors such as North Korea and Russia, raising concerns about national security.

The senators cited a report from the nonprofit organization Accountable.US, which stated that WLF sold $WLFI tokens to "highly suspicious entities." These entities have been found on the blockchain to have transactional links with the sanctioned North Korean hacking group Lazarus Group, Russia's "ruble-backed sanctions evasion tools," Iranian cryptocurrency exchanges, and Tornado Cash.

WLF's website shows that Eric Trump, Donald Trump Jr., and Barron Trump are co-founders, and the entity DT Marks DEFI LLC (associated with the president and his family members) holds a majority stake in WLF and is entitled to 75% of the proceeds from $WLFI token sales.

The senators believe that selling governance tokens to these entities not only directly profits the Trump family but may also allow illegal actors to gain influence over WLF's governance, indicating that WLF "lacks strong sanctions and anti-money laundering controls," and warns that this "poses a significant risk of facilitating illegal financial activities."