Selling pressure intensified yesterday as results came in. Within a few hours, Democrats, having taken control of key committees, announced their intention to investigate the Trump family’s cryptocurrency business, and traders began to price in the potential consequences of this, according to cryptonews.net.
Trump-related assets fell, whilst Bitcoin broke through the $80K mark
Apart from the $TRUMP token, yesterday’s election results and subsequent news of an investigation into the cryptocurrency sector put significant pressure on other assets linked to the Trump family. The World Liberty Financial $WLFI token fell by approximately 6 per cent yesterday, whilst the MELANIA token lost nearly 13 per cent. Trump Media & Technology Group, the parent company of Truth Social, also hit an all-time low of $5.03, whilst DJTU, a leveraged ETF tracking the company’s shares, fell by 32 per cent.
The rest of the market moved in the opposite direction: Bitcoin rose above $80,000 once again, whilst the total market capitalisation of the cryptocurrency market grew by more than 3 per cent. This news triggered a chain reaction amongst Trump-linked assets.
Democrats are preparing investigations in both houses
Representative Jamie Raskin, who is set to chair the House Judiciary Committee, has announced plans to investigate alleged conflicts of interest in Trump’s crypto projects, as well as presidential pardons granted to specific donors and law firms. Representative Robert Garcia, who is expected to become chairman of the House Oversight Committee, also intends to investigate the activities of Trump’s crypto companies and his inner circle. On election night, he limited himself to a brief, two-word statement: “Hire a lawyer.” Meanwhile, Senator Elizabeth Warren, who is set to chair the Senate Banking Committee, has stated that she will conduct a thorough investigation into family businesses linked to cryptocurrencies.
World Liberty Financial is at the centre of events
In January 2025, Aryam Investment 1 — an Abu Dhabi-based entity backed by Sheikh Tahnoun bin Zayed Al Nahyan — agreed to acquire an undisclosed 49 per cent stake in the company for $500 million. G42 executives secured seats on World Liberty’s board of directors as part of this deal, becoming the largest external shareholder.
A few weeks before the US and the UAE announced their MGX AI chip venture, another company led by Tahnoun used World Liberty’s USD1 stablecoin to finalise a $2 billion investment in Binance. Democrats view this sequence of events as a national security issue. Their list also includes the issue of a pardon for Binance founder Changpeng Zhao.
$TRUMP has its own ‘luggage scandal’. A 2025 letter from Senator Richard Blumenthal highlighted pump-and-dump-style price fluctuations and claimed that a small group of insiders had made substantial profits from the launch. This letter followed the promotion of a ‘Fight Fight Fight’ private dinner with the President for top holders.
Reuters estimates that the Trump family has made at least $2.3 billion from cryptocurrency since the inauguration. World Liberty accounts for more than $1.4 billion of this sum, with a further $616 million coming from meme coins. Investors’ losses amount to roughly the same figure.
The subpoena arrives in January
For two years, the Democrats have been sending letters that had no legal force. The situation will change when the 120th Congress convenes in January 2027 and committee chairs are granted the power to compel witnesses to appear and to demand the production of documents. It is expected that the first step will be a hearing to scrutinise the full extent of Trump’s crypto activities.
The Democrats expect the administration to invoke executive privilege, as it did during Trump’s first term. Their plan is to bypass the White House and issue subpoenas to private organisations. It is precisely these family-linked companies – such as World Liberty, Fight Fight Fight and others – that will be required to produce the documents.
Price fluctuations have always been part and parcel of holding $TRUMP or $WLFI tokens. Documents showing who bought these tokens and when may also soon be made public.
This story was translated with the assistance of artificial intelligence.The translation was also reviewed by the Logos Press editorial team.
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