U.S. Senator Warren urges the SEC to investigate Trump's family crypto project WLF

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Deep Tide TechFlow News, May 17 — Senior U.S. Senator Elizabeth Warren of the Senate Banking, Housing, and Urban Affairs Committee has officially sent a letter to Securities and Exchange Commission (SEC) Chairman Paul Atkins, urging the agency to investigate the Trump family’s cryptocurrency company World Liberty Financial, Inc. (WLF), to determine whether it has misled investors or violated relevant securities laws.

The letter disclosed that in early April this year, WLF used the decentralized lending protocol Dolomite to collateralize approximately $440 million worth of WLFI tokens issued by the company, borrowing $75 million in assets (including $65.4 million in USD1 stablecoins and $10.3 million in USDC). This move caused WLFI’s price to plummet by 10%, hitting a record low, and triggered serious liquidity issues on the Dolomite platform. Additionally, WLF later announced a token unlock plan (which mandated that early investors could not sell their holdings for at least two years), further provoking strong protests from investors.

Warren emphasized in the letter: “Securities anti-fraud protections apply to all securities transactions and should not be limited by technological form or the political background of the actors involved.” Currently, Warren has demanded that the SEC respond officially to this investigation request by May 26, 2026.

WLFI-2.14%
DOLO6.22%
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