Senators Elizabeth Warren and Jack Reed allege the Trump family’s DeFi protocol is tied to malicious actors from North Korea and Russia.
The U.S. presidential family’s crypto dealings are under fire yet again, and this time, Senators Elizabeth Warren and Jack Reed claim World Liberty Financial is tied to illicit actors out of North Korea and Russia.
It was reported this morning that the senators have requested the probe via the Department of Justice (DOJ) and Treasury Department, claiming that World Liberty Financial sold $10,000 worth of its $WLFI tokens in January to “traders who had a history of transacting with a wallet that is now sanctioned for association with the North Korean state-sponsored hacking team, Lazarus Group.”
It is worth noting that World Liberty Financial raised $550 million for WLFI, meaning that these potential malicious actors account for just 0.0018% of the token sale, as pointed out by onchain sleuth ZachXBT.
Despite the claims, the WLFI token is up 7% today.
Senator Warren is no stranger to the crypto community and has been a long-time critic of the industry, referring to DeFi participants as “scammers” and the now-passed GENIUS bill as just another “grift”.
Warren’s personal vendetta against the crypto industry has been ongoing for nearly half a decade, unapologetically questioning nearly every facet of the industry.
World Liberty Financial, which released its token in September, has been controversial both within and outside the crypto community, but despite the pushback, WLFI’s stablecoin, USD1, is the seventh-largest stablecoin in DeFi with a circulating market capitalization of $2.8 billion.
