Overview
- In a Nov. 18 letter to Attorney General Pamela Bondi and Treasury Secretary Scott Bessent, the senators questioned World Liberty Financial's token sales and sanctions controls.
- The request cites a watchdog report alleging $WLFI tokens went to wallets tied to North Korea’s Lazarus Group, a sanctioned Russian ruble-backed evasion tool, an Iranian exchange, and Tornado Cash.
- WLFI is closely tied to the Trump family, and an affiliated entity, DT Marks DEFI LLC, holds 22.5 billion WLFI tokens and is entitled to 75% of token-sale proceeds, which the senators say poses conflict-of-interest risks.
- World Liberty Financial denies the allegations, saying it runs strict AML and KYC checks and rejected millions of dollars from buyers who failed compliance reviews.
- The probe request lands as senators negotiate a crypto market-structure bill that could reshape oversight of governance tokens and as WLFI promotes products such as its USD1 stablecoin and a debit card.