Some US senators have called for an investigation into an altcoin linked to US President Donald Trump.
In the US, Democratic senators Elizabeth Warren and Jack Reed have called for official investigations by the Justice Department and the Treasury Department into World Liberty Financial (WLFI), a cryptocurrency firm backed by President Donald Trump.
The senators allege the company may be linked to illicit actors linked to North Korea and Russia and does not have adequate security measures in place to prevent malicious actors from gaining influence.
Warren and Reed’s request is based on a striking allegation in a report against the company, which alleges that World Liberty Financial may have sold 600,000 WLFI tokens worth approximately $10,000 to suspicious addresses linked to organizations known for money laundering, such as North Korea, Iran, and Tornado Cash.
ZachXBT, known for its crypto analysis and on-chain research, commented on the allegations, arguing that the figures were exaggerated. The analyst noted that the total token sale raised $550 million, while the alleged $10,000 amounted to only 0.0018% of the sale.
The analyst also added that he has not made any investments in the project and does not hold WLFI tokens.
ZachXBT said that if the senators are successful in this attempt, the next target could be altcoins like Hyperliquid (HYPE).
