The long-awaited Market Structure Act, which is supposed to make rules for digital assets, is now stuck in a new political deadlock. Senator Elizabeth Warren and Representative Elissa Slotkin (D-Mich.) have asked for an official investigation into the possible national security risks that Donald Trump’s crypto-related business activities and his administration’s ties to foreign groups may pose.

The Main Claim: Links to the UAE On December 16, 2025, Warren and Slotkin wrote a formal letter to the White House to express their worries about David Sacks (AI and Crypto Czar) and Steve Witkoff (Special Representative). The lawmakers say that these officials may have made “backdoor” deals, selling access to sensitive American AI technology to UAE funds in exchange for investments in crypto and AI chips.

Warren used previous reports to make the point that things are really bad: “A foreign power has taken control of U.S. foreign policy through crypto deals.” She says that lobbyists from the industry are trying to get laws passed that will help the Trump family.

“Back Door Access for Sale” The investigation is about more than just money. The Senators say that people in Trump’s administration put their own interests ahead of the safety of the country. Warren says that the current crypto bills were written to “line the Trumps’ pockets,” which would create a never-before-seen conflict of interest at the highest levels of government.

The Trump Team Calls It a “Political Witch Hunt” The Trump campaign has called these accusations a “political witch hunt.” Eric Trump said that the family is “serial capitalists” and that they always have been and always will be. He said they had to go to the crypto market because they were “banned from the traditional banking system.”

Warren, on the other hand, thinks that it’s too much for a U.S. President to get directly involved in these kinds of deals. “We can’t let that stand,” he says. The Market Structure Act could take a long time to pass because of this investigation’s findings. This would leave the crypto industry in a state of regulatory uncertainty.

Last Edited:12/19/2025

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