Democrats Seek Clarification on Trump's Gathering with Crypto Token Investors
In the realm of American politics, the blurring of lines between financial contributions and access to political leaders is often veiled, if not entirely disguised. However, the recent announcement by the team behind the meme cryptocurrency $TRUMP Coin has erased the facade, revealing a stark transactional exchange: top holders of the token will receive a private dinner with President Trump. This bold move has alarmed Democratic Senators Adam Schiff and Elizabeth Warren, who have called for an investigation by the US Office of Government Ethics.
In a letter sent on Friday, the senators raised concerns about the potential violation of federal ethics rules, citing the risk of "pay-to-play" corruption and the enrichment of the President and his family. As reported by CNBC, the senators expressed alarm that the arrangement could provide presidential access to individuals and corporate actors with a stake in federal action.
On May 22, the top 220 holders of $TRUMP Coin are scheduled to dine with the President, with an additional VIP reception and tour for the top 25 holders. The President is expected to speak about the future of crypto at the event. Such close proximity to the President, coupled with potential insights into his future policies in the crypto space, makes holding the coin a lucrative proposition for crypto giants and foreign actors seeking access to the President.
Since the announcement, the value of $TRUMP Coin has surged by nearly 60%, breaking the $14 mark. Notably, the majority of Trump Coins are owned by two entities: CIC Digital, an affiliate of the Trump Organization, and Fight Fight Fight LLC, which is co-owned by CIC Digital. These entities also generate revenue from trading activities, as stated on the Trump Coin website. In essence, investing in the memecoin could potentially grant access to the President.
Earlier this year, the SEC issued guidance on meme coins, stating that they would not be subject to regulatory oversight. With the reluctance of the Trump administration towards regulatory enforcement and a disregard for ethical frameworks, the concerns raised by Senators Schiff and Warren may fall on deaf ears. However, it is essential to shed light on the potential conflicts of interest and risks associated with this arrangement.
Sources:
- CNBC
- The Washington Post
- The Hill
- Gizmodo reported that the future of technology, particularly cryptocurrency, is under scrutiny due to the controversial event involving President Trump, where top holders of the $TRUMP Coin will receive a private dinner with him, raising concerns about policy-and-legislation and politics.
- The TechCrunch revealed that the arrangement between President Trump and the top holders of the $TRUMP Coin has alarmed Democratic Senators Adam Schiff and Elizabeth Warren, who are calling for an investigation by the US Office of Government Ethics, citing potential violations of federal ethics rules and the risk of "pay-to-play" corruption.
- The general news outlets, such as the CNBC, The Washington Post, and The Hill, are reporting that the value of $TRUMP Coin has surged significantly since the announcement, with the majority of the coins being owned by two entities, CIC Digital and Fight Fight Fight LLC, which are affiliates of the Trump Organization and could potentially provide access to the President through their stake in the memecoin.
