A group of US lawmakers is urging President Donald Trump to abandon cryptocurrency transactions, warning about Elon Musk's growing power, which they say could harm the economy and government oversight.
Concerns Over Trump's Financial Ties to Crypto
On March 17, four US senators, including Elizabeth Warren, along with Representative Jamie Raskin, sent a letter to White House Chief of Staff Susie Wiles. The letter expressed concern about Trump's growing involvement in the cryptocurrency sector, especially the emergence of the TRUMP meme coin. According to the lawmakers, the coin has brought in nearly $100 million in transaction fees for his family and business partners in less than 14 days.
They also criticized Trump's World Liberty Financial and warned about the influence of foreign investors in the cryptocurrency market. In particular, they were concerned that Commerce Secretary Howard Lutnick, whose company has invested heavily in cryptocurrencies, could hinder financial oversight efforts.
The lawmakers stressed that the current cryptocurrency market is fraught with risks that could trigger a financial crisis similar to the dot-com bubble or the 2008 crisis.
Elon Musk's growing power in government
The letter goes beyond Trump, warning about Elon Musk's growing influence in the federal government, particularly through the Trump-created Department of Government Efficiency (DOGE). The senators said this could allow Musk to benefit financially without strict oversight.
They cited that at least 11 investigations and enforcement actions against Musk’s businesses have been delayed or weakened. Additionally, a $2.4 billion Federal Aviation Administration (FAA) contract with Verizon could be canceled and awarded to Starlink, a company owned by Musk, raising concerns about potential conflicts of interest.
Calls for action and mixed reactions
Lawmakers are asking Trump to commit to divest from his private business interests, as previous presidents have done, and are calling on Musk to release financial reports to ensure transparency.
They stress that if Trump and Musk continue their unchecked financial practices, their personal interests could be put ahead of the interests of the United States. The letter asks the White House to respond by March 31 on a plan to address these concerns.
Trump and Musk supporters, however, see a different view. They see Trump’s involvement in cryptocurrency as a step forward for financial innovation and decentralized markets. Musk, meanwhile, is seen as a disruptor of bureaucracy, improving government efficiency rather than undermining it.
The debate over the impact of cryptocurrency and Musk’s role in government continues, reflecting a deep divide in American politics over the future of fintech and corporate power.
