Trump Memecoin Gala Sparks Political Fury
President Donald Trump is hosting a gala dinner on May 22 for the large holders of his TRUMP memecoin, amid growing political fury and bipartisan condemnation of his financial dealings.
In a May 5 Truth Social posting, Trump invited upper-level investors in his namesake cryptocurrency to a tour of the White House and dinner.
The move has stoked calls for accountability, with Democratic lawmakers charging Trump with selling access to the presidency through crypto schemes.
Bipartisan Critics Denounce Access-for-Investment Model
Senators Elizabeth Warren and Adam Schiff led a joint letter that warned the event offers “exclusive access to the presidency” in exchange for economic support of Trump’s business venture.
Senator Jon Ossoff went further, calling the president’s actions “an impeachable offense” at an April 25 town hall. “There’s no question this crosses a constitutional line,” he stated.
Even crypto-friendly Republicans like Senator Cynthia Lummis said they were alarmed, questioning the ethical implications of selling off political influence through blockchain-based assets.
$2B UAE Deal Stirs National Security Fears
The scandal gained momentum after a May 1 revelation that a $2 billion investment in Binance by UAE-based MGX was funded through Trump-backed stablecoin USD1.
The stablecoin’s market capitalization skyrocketed from $137 million to $2.13 billion in 24 hours. Senator Warren labeled the transaction a “shady crypto deal” and warned of serious national security threats.
“The Senate should not be voting on a crypto bill this week to allow this kind of corruption,” she tweeted on X, referring to foreign influence in US politics.
Legal Experts Split on Loopholes and Disclosure
Legal experts are divided on whether Trump’s conduct violates existing laws. Yarden Noy of DLT Law said regulatory loopholes could make prosecution difficult:
“The president’s attorneys can successfully argue that no disclosure requirements kick in here.”
But he acknowledged constitutional concerns about emoluments, even if their application is “very questionable.”
Niko Demchuk of AMLBot suggested balanced reforms like audit requirements and conflict-of-interest policies to safeguard innovation without enabling abuse.
Eric Trump Defends the Deal in Dubai
Speaking to Token2049 in Dubai, Eric Trump defended the use of USD1 in the UAE deal, calling traditional banking “a joke.”
He said:
“Why do banks work nine to five with long lunch breaks? It doesn’t make sense anymore.”
The Trump Organization is still facing questions of the legality and implications of its crypto plan as critics call for transparency—and perhaps, impeachment.
