Democrats prepare to probe Trump family's crypto ties after winning control of Congress
After Democrats won control of both the House and the Senate, the crypto industry is bracing for congressional investigations into its financial ties to President Donald Trump and his family, Bloomberg Government reports. Incoming Senate Banking Committee chair Elizabeth Warren has pledged to focus on alleged deals between the sector and Trump. No investigation has been opened yet; committees gain subpoena power when the new Congress convenes in January 2027.
The cryptocurrency industry is shifting its focus in Washington from winning new legislation to defending itself, as Democrats who won both chambers of Congress in the midterm elections prepare to investigate the sector's financial ties to President Donald Trump and his family, Bloomberg Government reported on Wednesday, 4 November.
According to the report, those expected probes are likely to absorb much of the industry's lobbying effort on Capitol Hill, and its legislative agenda now faces tough odds in the new Congress.
A central figure will be Sen. Elizabeth Warren of Massachusetts, a long-time critic of the crypto industry, who is set to chair the Senate Banking Committee. Bloomberg Government says she has pledged to focus on alleged deals between the sector and Trump. "Democrats' priorities starting off are going to be oversight hearings to get to the bottom of some of his dealings there," said Max Raymond, a director of financial policy quoted by the outlet.
Democrats had signalled the plan well before the vote. In August, Rep. Sean Casten of Illinois, vice ranking member of the House Financial Services Committee, told Bloomberg Government that oversight could include calling administration officials to testify and subpoenaing companies for their communications, "all of the above". Earlier in the summer, the top Democrats on the Senate banking, investigations, homeland security, judiciary and finance panels jointly called for hearings on the national security implications of Trump's cryptocurrency holdings.
That call cited reports that a royal from the United Arab Emirates struck a deal to buy a 49% stake in World Liberty Financial, the Trump family's crypto business. Trump denied knowing about the deal, saying his "sons are handling that". He has also said there is "nothing wrong" with his crypto gains.
No investigation has been formally opened and no wrongdoing has been established. Democrats will gain committee gavels, and with them the power to issue subpoenas, when the new Congress convenes in January 2027.