U.S. Senators Elizabeth Warren (D-MA) and Jeff Merkley (D-OR) have called on cryptocurrency exchange Binance and investment firm MGX to preserve documents and communications tied to a $2 billion transaction involving the Trump-affiliated stablecoin USD1. The request was made in a letter dated June 11, raising new scrutiny over the financial dealings of former President Donald Trump’s family.
Senators Seek Transparency on USD1 Stablecoin Settlement
Addressed to the CEOs of Binance and MGX, the letter demands both firms secure “specific information” relating to a multi-billion-dollar settlement involving USD1, a stablecoin issued by World Liberty Financial (WLF), which has close ties to the Trump family. The transaction in question involved a government-owned Abu Dhabi entity and Binance, prompting concerns over potential conflicts of interest and financial influence.
“To help us better understand the extent to which President Trump’s financial stake in USD1 influenced your companies’ decision to use this stablecoin instead of other forms of payment not connected to the President of the United States, we request additional information and documents from MGX and Binance regarding the investment,” wrote Warren and Merkley.
The senators are also requesting records related to several individuals connected to World Liberty Financial, including former President Trump, his sons Barron, Eric, and Donald Jr., as well as WLF co-founders Chase Herro, Zak Folkman, Zach Witkoff, Alex Witkoff, and Steve Witkoff—who serves as Trump’s Special Envoy to the Middle East.
Concerns Over Foreign Influence and Personal Profit
While acknowledging support for initiatives that promote the U.S. dollar globally, Warren and Merkley sharply criticized the role of USD1 in this case. “Like officials at WLF, we support efforts to promote the U.S. dollar,” the senators stated. “We do not, however, see use of USD1—an instrument that conveniently lines the pockets of the sitting U.S. President and his family—as essential to that effort.”
Their concerns build on a previous inquiry initiated last month. In a May 5 letter addressed to Office of Government Ethics Acting Director Jamieson Greer, the senators called for an investigation into the Trump family’s expanding crypto operations and the possible use of USD1 to profit from foreign entities.
“This deal raises the troubling prospect that the Trump and Witkoff families could expand the use of their stablecoin as an avenue to profit from foreign corruption,” they warned.
The controversy adds to growing questions over the intersection of political influence, digital assets, and international finance, as regulatory scrutiny around stablecoins and crypto platforms intensifies in Washington.
