Senators Intensify Crypto Market Talks as Warren Probes Trump’s Digital Asset Ties

U.S. lawmakers are pushing forward with negotiations to establish a regulated framework for cryptocurrency markets, but the political landscape surrounding digital assets is becoming increasingly tense. As bipartisan discussions continue behind closed doors, Senator Elizabeth Warren is renewing her efforts to scrutinize President Donald Trump’s personal and financial ties to crypto ventures.

Warren, the top Democrat on the Senate Banking Committee, along with Senator Jack Reed, has sent a formal request to Treasury Secretary Scott Bessent and Attorney General Pam Bondi. The senators are seeking clarity on reports that World Liberty Financial Inc. (WLFI) — a crypto company linked to Trump — allegedly sold digital tokens to individuals in North Korea, Russia, and other high-risk jurisdictions. According to findings from the watchdog group Accountable.us, these transactions raise concerns about WLFI’s due-diligence standards and whether its products could enable sanctions evasion, money laundering, or terrorist financing.

The senators argue that Trump’s connection to WLFI represents a major conflict of interest as his administration advocates for policies that could directly benefit his own crypto-related ventures. Several Democratic lawmakers have echoed these concerns, warning that crypto-friendly regulatory reforms may be compromised by the president’s business involvement.

Despite this tension, efforts to craft a comprehensive market structure bill remain active. The Senate Banking Committee, typically central to such legislation, is showing internal divisions among Democrats. While Warren continues to highlight crypto risks and ethical issues, other members appear more open to advancing regulatory language. Industry advocates remain cautiously optimistic, noting that the unusually secretive negotiations may signal substantive progress.

The Senate Agriculture Committee, responsible for derivatives and commodities oversight, is also working on its version of the bill, though significant gaps reportedly remain. Meanwhile, Republican lawmakers have resisted proposals that would prohibit high-ranking government officials — including the president — from maintaining crypto business ties.

As Congress works toward shaping the future of digital asset regulation, political scrutiny and ethical questions are becoming just as influential as policy debates, ensuring that crypto will remain at the center of Washington’s attention.