US House Speaker Mike Johnson has kept quiet on a growing ethics flap around a crypto dinner hosted by US President Donald Trump. He told CNN on May 25 that he hadn’t heard about the event and wouldn’t weigh in. Meanwhile, 35 House Democrats want a Justice Department probe and the guest list made public.
Democrats Call For Probe
According to reports, 35 House Democrats formally asked the Justice Department to investigate Trump’s May 22 dinner for top holders of his Official Trump (TRUMP) memecoin. They worry that some of the biggest buyers may be foreign nationals, which could break bribery rules or the Constitution’s emoluments clause. Senator Elizabeth Warren called it an “orgy of corruption” at a press conference on the same day.
Questions Over Foreign Funds
Based on reports from Bloomberg on May 7, a majority of the 220 invitees to the dinner likely came from outside the US. That includes Justin Sun, the Chinese-born CEO of Tron, who has the largest share of TRUMP tokens. Some critics point out there’s no clear record of where the money came from or how much each person paid to attend.
Jake Tapper (left) of CNN speaks with House Speaker Mike Johnson. Source: CNN
Johnson Stays Silent
On May 25, Jake Tapper asked Johnson why the names weren’t released and if he’d be upset if a Democratic president did the same. Johnson said he “doesn’t know anything about the dinner” and that he’d been “a little busy” passing a $1.6 trillion budget bill. He also praised Trump as “the most transparent president” and insisted there was nothing to hide.
A White House state dinner. Image: AP Photo/Ron Edmonds/file
New Bill Seeks To Ban Profits
That same day, Representative Maxine Waters and 14 colleagues introduced the “Stop TRUMP in Crypto Act.” The bill would bar Trump and his family from making money off any crypto venture while he’s in office. Waters pointed to figures showing Trump’s crypto platform, World Liberty Financial, has made over $350 million in fees and profits tied to his memecoin.
Wider Crypto Concerns
Investors in TRUMP tokens saw a 60% jump in price when the dinner was announced. Australian entrepreneur Kain Warwick even told The New York Times on May 12 that he bought enough tokens to get into the top 25 holders so he could get an invite. Sheldon Xia, CEO of BitMart in the Cayman Islands, posted photos of himself at the event, adding to questions about foreign influence.
Legal Limits On Gifts
Under the Constitution’s emoluments clause, a president may not accept any gift from a foreign state without Congress’s approval. If some of the crypto investors gave what amounts to a gift or payment to gain access, they could be in legal hot water. Ethics experts say the lack of transparency makes it hard to rule out violations.
Featured image from Getty Images, chart from TradingView
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