Trump Family Wealth Surges $2.9 Billion from Cryptocurrency Investments, Report Reveals

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Trump family's net worth has increased by $2.9 billion thanks to crypto investments, new report says

Trump’s Crypto Ventures Boost Family Wealth

President Trump’s recent foray into cryptocurrency has reportedly augmented his family’s wealth by billions over the past six months, as his administration continues to ease federal regulations surrounding the digital currency sector. A report from the group State Democracy Defenders Action estimates that Trump’s crypto investments now account for nearly 40% of his net worth, which is approximately $2.9 billion. This surge can be attributed to the launch of the $TRUMP and $MELANIA meme coins, alongside a significant investment in World Liberty Financial, a crypto exchange linked to the Trump family that debuted in October 2024. Although State Democracy Defenders Action claims to be non-partisan, its leadership comprises frequent critics of Trump, advocating against what they perceive as an autocratic threat to the nation.

World Liberty Financial’s Major Investment Announcement

Trump is poised to see another increase in his net worth following World Liberty Financial’s recent announcement of a substantial investment from an Abu Dhabi-backed firm. The Emirati company, MGX, plans to invest $2 billion in a stablecoin product offered by World Liberty, as stated in a press release to CBS. The stablecoin, referred to as “USD1,” is intended for investments in Binance, one of the leading cryptocurrency exchanges globally. World Liberty Financial has connections to Trump and his sons, with the company’s website revealing that an entity associated with the Trump family holds a 60% ownership stake. Public records also indicate that a Trump family entity owns 22.5 billion of the $WLF tokens and receives an additional 75% of the net revenue from future token sales. Specifics regarding the MGX investment remain undisclosed, leaving uncertainty about the potential benefits for the Trump family.

Significance of the Investment

World Liberty Financial characterized the deal as the “largest-ever investment in a crypto company,” claiming it sets a “historic precedent.” However, the company did not clarify how much profit the Trump family might realize from this investment. In response to inquiries, the White House directed CBS News to focus on topics of greater public interest and provided links to various technology initiatives from the administration. Amid Trump’s growing crypto investments, a CBS News analysis revealed that the Securities and Exchange Commission (SEC) has paused investigations into a dozen crypto companies since he took office.

Ethics Concerns Raised

Virginia Canter, the chief counsel for ethics and anti-corruption at State Democracy Defenders, expressed concerns regarding Trump’s potential profiting from his public office. Canter, who co-authored the report and has experience as senior ethics counsel for the Treasury Department across both political parties, noted that modern presidents typically divest their assets or transfer them into blind trusts, a practice Trump has not followed. Instead, it appears he is fully committed to the crypto sector during his second term.

Challenges in Transparency

The report heavily references previous media analyses, including a Fortune article assessing the Trump family’s financial disclosures that provided initial estimates of his net worth. Unlike traditional companies, crypto platforms are not legally obligated to reveal details about their buyers and sellers, leading to a lack of transparency regarding investors in Trump family-affiliated crypto products. Canter highlighted that this opacity complicates the identification of potential conflicts of interest, contrasting it with the visibility available during Trump’s first administration.

Shift in Trump’s Stance on Cryptocurrency

Once dismissive of cryptocurrency, calling it a “scam” in 2021, Trump has since shifted his perspective, aiming to position the U.S. as the “crypto capital of the world.” Since taking office, he has initiated several measures to dismantle regulatory barriers that industry insiders claim have hindered crypto businesses. His executive orders have sought to bolster cryptocurrency growth and directed the Treasury Department to establish a strategic cryptocurrency reserve. Trump also pardoned the founders of cryptocurrency exchange BitMEX, who faced legal trouble for failing to prevent money laundering on their platform.

Market Reactions to Trump’s Actions

The valuation of Trump’s crypto assets has shown volatility in response to his policy decisions and social media activity. For instance, the value of the $TRUMP coin surged by 18.1% in early March after an executive order promoting a strategic cryptocurrency reserve. Additionally, a social media post from Trump on March 23 expressing enthusiasm for the $TRUMP coin led to a price rise from $10.93 to $12.24. Regardless of the price movements, the business entities behind the $TRUMP coin earn trading fees with each transaction, potentially accumulating around $100 million in fees within a short trading window.

The Launch of World Liberty Financial

Beyond meme coins, the Trump family’s latest venture into cryptocurrency could prove to be its most lucrative. In October, then-candidate Trump participated in the launch of World Liberty Financial, a decentralized cryptocurrency exchange. The platform prominently features the president’s image and offers users the chance to invest using $WLFI tokens. Trump expressed optimism about the future of cryptocurrency on social media, encouraging users to embrace the technology and lead in the digital economy. The website indicates that World Liberty is “inspired by Donald J. Trump,” with the former president serving as chief crypto advocate and his sons listed as Web3 ambassadors.

Investor Participation and Future Prospects

World Liberty claims to have raised over $550 million from investors who purchased the $WLF governance token, although most remain anonymous. Currently, these tokens are non-redeemable, meaning that once purchased, users cannot exchange them. World Liberty has declined multiple interview requests from CBS. Notably, Justin Sun, a well-known crypto billionaire, has emerged as one of the few publicly identified investors in World Liberty. Sun had previously disclosed investing significant amounts shortly after Trump’s election, asserting that he was World Liberty’s “largest investor.” Following Trump’s election, the SEC took steps to pause proceedings against Sun, reflecting a broader trend of the agency halting cases against crypto entities.

Regulatory Concerns and Conflicts of Interest

Recently, Democratic members of the Senate Banking, Housing and Urban Affairs Committee raised concerns in a letter to the Federal Reserve and the Office of the Comptroller of the Currency regarding potential conflicts of interest stemming from Trump’s involvement in World Liberty Financial, especially as he seeks to alter regulations affecting companies like it. The letter emphasized that Trump’s dual role as president and a crypto entrepreneur poses significant risks to the financial system. Although the president is not bound by criminal conflict-of-interest laws, he must disclose his assets and income, including his crypto holdings, under the Ethics in Government Act. The upcoming deadline for his financial disclosure report is May 15.