U.S. Democratic Senators Elizabeth Warren and Andy Kim are calling for an immediate and thorough review of a $500 million foreign investment in World Liberty Financial (WLFI) by the Treasury Department. Their urgent request to Secretary Scott Bessent underscores significant concerns about potential national security risks, foreign influence, and data privacy issues stemming from the deal.
The Controversial Investment
At the heart of the senators' scrutiny is the reported sale of a 49% stake in WLFI to Aryam Investment, an entity backed by Sheikh Tahnoon bin Zayed Al Nahyan. This substantial transaction was finalized just days before President Trump's 2025 inauguration, at a time when WLFI reportedly had no live products. Senators Warren and Kim are demanding that the National Security Panel Committee on Foreign Investment in the United States (CFIUS) launch an investigation to determine the full scope of potential risks associated with this foreign capital injection.
Unpacking Influence and Privacy Risks
The lawmakers articulate several layers of concern regarding foreign influence and user data. They point to the appointment of two executives from the AI firm G42 to WLFI’s board, suggesting a deeper integration of foreign interests within the company. Furthermore, the senators highlight potential data privacy risks for users, along with reported links between Sheikh Tahnoon’s network and other firms, such as MGX, which previously invested in Binance using WLFI’s USD. These connections raise broader questions about the reach and implications of foreign financial influence. The Treasury now has until March 5th to respond to these serious allegations, indicating the gravity and urgency of the situation.
