World Liberty Financial (WLFI), the Trump crypto platform, rejected congressional scrutiny

input: World Liberty Financial (WLFI), the Trump crypto platform, rejected congressional scrutiny in a direct response dated May 15. The letter, sent to Senator Richard Blumenthal, called the investigation request “fundamentally flawed.”

World Liberty Financial (WLFI), the Trump crypto platform, directly rejected congressional scrutiny in a reply dated May 15. The letter to Senator Richard Blumenthal called the investigation request "fundamentally flawed."

WLFI co-founder Zach Witkoff confirmed the firm’s legal team authored the reply. Instead of addressing individual allegations, it claimed to be "too busy building."

“The Company rejects the false choice between innovation and oversight,”

the letter stated.

“What it opposes is the misuses of regulatory authority and uncertainty to suppress lawful innovation.”

However, the letter didn’t specify which part of the inquiry was flawed or detail the claims.

As part of a $2 billion crypto settlement, WLFI’s stablecoin USD1, launched in March 2025, will be used by an Abu Dhabi-based firm to transfer funds to Binance, according to a May report.

This follows U.S. regulators investigating Binance, leading Senator Blumenthal to highlight national security risks in a May 6 letter to WLFI.

“WLFI’s financial entanglements with the President, his family, and the Trump Administration present unprecedented conflicts of interest,” Blumenthal wrote.

So far, WLFI hasn't named the Abu Dhabi firm or confirmed its involvement in the Binance deal. At the same time, it hasn't denied any link.

GENIUS Act Could Impact Trump Crypto Platform

At the federal level, the GENIUS Act remains under review. The bill would classify stablecoins like USD1 as payment instruments. Because WLFI operates a Trump crypto platform, lawmakers are concerned about Donald Trump benefiting if he influences or signs the bill.

As of May 16, no final text addressed this issue. Still, Democrats continue pushing for changes to the GENIUS Act that would block any financial benefit to Trump.

WLFI has stayed silent on the potential impact of the GENIUS Act. However, lawmakers want clear rules that separate personal profit from policymaking. Currently, the bill remains active in a Republican-controlled Congress, but no vote is scheduled yet.

Senator Blumenthal’s office was contacted by Cointelegraph for comment.

Trump Memecoin Dinner Adds More Tension

Separately, the Trump memecoin announced an exclusive dinner on May 22, inviting major tokenholders. This raised more questions in Congress about how closely political branding connects to WLFI’s financial tools.

Although WLFI hasn’t confirmed involvement, lawmakers pointed out overlapping timelines and shared branding between the Trump crypto platform and the memecoin. They warned the public could mistake political content for investment promotion.

No list of dinner attendees or memecoin investors has been released. WLFI has also not disclosed token sales or revenue related to the memecoin.

The Trump crypto platform now faces multiple fronts of scrutiny, from its stablecoin deal to memecoin activities, as pressure from lawmakers increases.