Congress concerned about crypto ties to Trump
The Democratic Party continues to investigate possible links between the cryptocurrency industry and former President Donald Trump. The latest request was sent to Treasury Secretary Janet Yellen regarding the Office of the Comptroller of the Currency's (OCC) review of a banking license application from World Liberty Financial.
World Liberty Financial is a fintech startup founded by Trump's former economic advisor Stephen Moore. The company specializes in cryptocurrency services and previously sought a trust bank charter.
Democrats are concerned that the OCC may approve World Liberty Financial's application despite the founder's ties to the ex-president. In the letter to Yellen, they demand information on the risk assessment conducted by the agency, as well as details on any contacts between the OCC and the company.
Broad investigation into crypto ties
This is not the first request by Democrats to financial regulators regarding potential abuses in the cryptocurrency industry. Previously, they demanded data from the Securities and Exchange Commission (SEC) and the Office of Foreign Assets Control (OFAC) on their work in this area.
It is clear that Democrats intend to thoroughly examine any links between Trump, his circle, and cryptocurrency companies. This could seriously complicate the work of such startups, especially at the stage of obtaining regulatory approvals.
On the one hand, this position of the Democrats is understandable - they seek to curb possible abuses and corruption. But on the other hand, excessive pressure could negatively impact the development of the entire cryptocurrency industry in the US, which would ultimately be detrimental to ordinary investors and users.