An agreement with a Southeast Asian blockchain initiative came amid recent connections to persons subsequently sanctioned due to alleged associations with a significant fraud network

World Liberty Financial, associated with the Trump family, is once again facing intense examination. (CoinDesk)

Key Points:

• A cryptocurrency enterprise connected to Donald Trump, World Liberty Financial, is facing renewed examination after forming a partnership with AB DAO, whose latest major initiative included individuals subsequently sanctioned by the United States and Britain.
• This incident intensifies worries regarding World Liberty Financial’s governance and partner vetting processes, compounding a $500 million agreement that granted a UAE security adviser-backed company a 49 percent ownership stake just before Trump resumed his presidency.

A cryptocurrency enterprise linked to U.S. President Donald Trump is encountering fresh scrutiny following a partnership with a firm whose “flagship project” recently included individuals subsequently sanctioned by the U.S. and U.K.

WLFI$0.09520, a crypto business co-founded by Trump and partially owned by his family, stated it performed due diligence before incorporating its USD1 stablecoin with the Southeast Asia-based blockchain project AB DAO.

CoinDesk reached out to WLFI, launched in September 2024, for comment, but the company had not responded at the time of publication. Nevertheless, WLFI informed The Times it has “no association or relationship with the sanctioned individuals.”

The developments contribute to wider questions surrounding World Liberty’s governance and external connections. Reporting by The Wall Street Journal in January exposed that a company backed by United Arab Emirates (UAE) national security adviser Sheik Tahnoon bin Zayed Al Nahyan discreetly agreed to purchase a 49% stake in WLFI for $500 million shortly before Trump returned to office.

The deal represented “something unprecedented in American politics,” according to the Wall Street Journal, which cited legal experts raising potential conflict-of-interest concerns. The White House has rejected any allegations of wrongdoing.

There is no indication that WLFI had any direct connection to the Prince Group, according to The Times. Nonetheless, the report raises questions about the effectiveness of due diligence surrounding its partnerships.