The First Family’s Unprecedented Cash Grab Exposes Democracy’s Biggest Loophole

Trump’s presidential profiteering has ballooned to an unprecedented $4 billion after just one year back in office, according to a detailed analysis by The New Yorker’s David D. Kirkpatrick. The figure represents an explosive increase from the $3.4 billion calculated last August, driven primarily by cryptocurrency ventures, foreign mega-deals, and business arrangements that would make any ethics watchdog’s head spin. Unlike his first term—when Trump promised his family would never do anything “perceived to be exploitive of office of the Presidency”—his second term looks rapacious. The President recently explained his change of heart to The Times: “I found out that nobody cared.”

The Scale of Presidential Exploitation Is Historic

No other president has so nakedly exploited their position or on such a massive scale. Ethics watchdogs across the political spectrum agree that what the Trump family has accomplished represents a fundamental threat to democratic norms. But here’s the kicker: much of it is technically legal, exposing a gaping hole in our system that urgently needs closing.

The calculation method used by journalist David D. Kirkpatrick is notably conservative. He excludes profits from pre-existing Trump businesses like hotels and golf courses. He sets aside traditional political fundraising, even though Trump has revolutionized access-selling to unprecedented levels. He even leaves out “funny money” assets that can’t be easily cashed out without triggering a market collapse, like Trump’s shares in Truth Social’s parent company.

Even with these generous exclusions, the number is staggering.

Cryptocurrency: The Perfect Vehicle for Presidential Profiteering

The Trump family’s crypto strategy boils down to this: Use presidential credibility to make sketchy digital currencies look legitimate. It’s brilliant in its simplicity and terrifying in its implications.

American Bitcoin Redux provides the first example. Eric and Donald Trump Jr. contributed nothing but their family name to American Bitcoin—a company that mines and hoards bitcoin—and received approximately a 13% stake. Eric now serves as co-founder and chief strategy officer, despite having virtually no experience in cryptocurrency or digital finance.

When the company went public in September through a penny-stock merger (avoiding the scrutiny of a traditional IPO), the brothers’ stake ballooned to around $200 million. Donald Jr.’s stake alone adds roughly $100 million to the presidential profit ledger.

World Liberty Financial: Where Conflicts of Interest Meet Innovation

World Liberty Financial represents an even more lucrative—and troubling—venture. The President is listed as “co-founder emeritus,” with Eric, Donald Jr., and Barron Trump all listed as co-founders. Steven Witkoff, Trump’s old friend and diplomatic envoy, shares the co-founder emeritus title, while his son Zach serves as CEO.

The company sells a “stablecoin” called USD1, which supposedly maintains a fixed one-dollar value. Here’s how the profit machine works:

• Buyers purchase USD1
• World Liberty holds the cash and invests it in U.S. Treasury bonds
• At current interest rates, World Liberty earns over 4% annually on circulating USD1

The United Arab Emirates kicked things off by purchasing $2 billion worth of USD1 last spring—while simultaneously seeking approval from the Trump Administration to acquire sensitive American AI technology. Trump granted that approval shortly after.

The Binance Connection: A Quid Pro Quo in Plain Sight

The Emiratis immediately used their USD1 to invest in Binance, the world’s largest crypto exchange. Binance’s founder, Changpeng Zhao (known as C.Z.), had pleaded guilty to violating anti-money-laundering laws in 2023 and served a brief prison sentence. At the time of the UAE’s massive stablecoin purchase, he was petitioning Trump for a pardon.

In October, Trump granted C.Z.’s pardon request.

Then Binance started making moves that dramatically enriched the Trumps:

1. December 11: Binance dropped fees for certain crypto trades conducted in USD1
2. December 23: Binance began paying users to hold USD1—offering returns that would annualize to an eye-popping 20%
3. USD1 circulation exploded from $2 billion to roughly $5 billion

Molly White, a computer programmer and prominent crypto industry critic, told The New Yorker that Binance “seems like they are just giving away free money” and that the arrangement looks like “a very blatant quid pro quo” for Trump’s pardon of C.Z.

Pakistan, which has its own interests in influencing the Trump Administration, signed an agreement on January 14 to incorporate USD1 into an officially regulated digital-payment system.

According to World Liberty’s fine print, a Trump-affiliated company is entitled to roughly 38% of interest earned. With $3 billion in additional USD1 circulation, that translates to approximately $136 million in additional presidential profit over Trump’s remaining three years in office.

Alt5 Sigma: From Appliance Repair to Presidential Crypto

Perhaps the most bizarre transaction involves Alt5 Sigma Corporation. This company went public in 1991 as Appliance Recycling Centers of America, pivoted to biotechnology in 2019, shifted to digital payments in 2024, and then refocused again in August—this time on buying World Liberty’s governance tokens.

These digital tokens carry no promise of dollar redemption and provide no equity or profit share in World Liberty. Their primary value appears to be the Trump family connection and the hope that future deregulation might convert them into actual ownership stakes.

Alt5 Sigma traded board control to World Liberty in exchange for about $750 million worth of tokens. Zach Witkoff became chairman, and Eric Trump was appointed as a director. The company then sold another $750 million in new shares specifically to buy more World Liberty tokens.

White, the crypto critic, called this arrangement “a mind-boggling conflict of interest”—top executives of World Liberty now run a second company whose mission is buying World Liberty’s own governance token.

After deducting expenses, 75% of token sales go to a Trump-affiliated company. That’s $562 million flowing to the First Family.

Saudi Deals and Blood Money

Beyond cryptocurrency, the Trump Organization continues cashing in through partnerships with Dar Al Arkan, a major Saudi developer with close ties to the royal family.

Recent announcements include:

• Trump International Hotel Maldives: Approximately 80 ultra-luxury beach and overwater villas (rental rates potentially exceeding $10,000 per night)
• Diriyah Development: Golf club, luxury hotel, and mansions near Riyadh
• Trump Plaza Jeddah: Townhouses, condos, office space, retail stores, Trump Grill, artisanal bakery, and health club with cigar bar

Combined project value: $10 billion, with the Trumps potentially making tens of millions from each.

The timing is significant. The day after announcing the Maldives hotel, Trump welcomed Crown Prince Mohammed bin Salman to the White House—his first visit since his agents killed and dismembered journalist Jamal Khashoggi in 2018.

When an American journalist asked about the murder, Trump berated them for daring to “embarrass our guest.” He contradicted U.S. intelligence agencies by declaring bin Salman “knew nothing about it” and deprecated Khashoggi as someone “a lot of people didn’t like.”

Trump then announced plans to sell advanced F-35 fighter jets to Saudi Arabia, approve export licenses for advanced AI computer chips, and potentially provide nuclear technology.

Donald Jr.’s Board Seat Bonanza

Before the 2024 election, Donald Trump Jr. sat on the board of only one company: Trump Media & Technology Group. Since the election, about half a dozen companies have rushed to enlist him as an adviser or director.

Current stock holdings include:

• Unusual Machines (drone manufacturer): Stock valued at more than $5 million
• Dominari Securities (penny-stock brokerage): Shares worth more than $6 million (with Eric)
• GrabAGun (online weapons retailer): Stock currently worth nearly $1 million
• Mixed Martial Arts Group Limited: Options worth about $1.3 million
• PublicSquare (“anti-woke” marketplace): Shares worth about $130,000

Allan Evans, CEO of Unusual Machines, compared Donald Jr.’s role to Oprah Winfrey’s former position on Weight Watchers’ board. “What does Oprah need to do? Not a lot,” Evans told Bloomberg News. The Trump name alone provides “credibility to rise above the noise.”

That credibility paid off when the U.S. Army included Unusual Machines’ drone parts in a major order this past October. Critics have asked whether the family connection to the Commander-in-Chief played a role in the contract.

The Losers: Everyone Who Bet on Trump

For most Trump investors, the year has been brutal:

• Trump Media & Technology Group shares: Down more than 60% since Inauguration
• Trump NFTs: Down 80%
• $TRUMP meme coin: Down about 90%
• World Liberty tokens: Down about 33%
• American Bitcoin: Down about 80%
• Most companies that brought Donald Jr. aboard: Significant losses

But here’s the fundamental asymmetry: When you can trade your family name for an interest in a business, you come out ahead—no matter how it fares. The Trump family gets paid upfront or gets equity that’s already been liquidated. Ordinary investors bear all the risk.

What This Means for Democracy

This isn’t just about one family getting rich. It’s about a precedent that fundamentally alters the American presidency. If Trump can profit $4 billion with minimal political consequences, what’s to stop the next president—from either party—from doing the same?

The conflicts of interest are dizzying:

• A president invested in companies competing for federal permits and funding
• A president’s family profiting from foreign governments seeking favorable treatment
• A president pardoning criminals who then enrich his family
• A president’s sons sitting on boards of companies that win federal contracts

The White House response to detailed questions? Spokesperson Taylor Rogers dismissed concerns as “the same old garbage narratives,” insisting that “President Trump has always put—and will always put—the best interests of the American people first.”

That claim is impossible to square with the facts.

The Bottom Line

Trump told The Times he abandoned his first-term restraint because “I found out that nobody cared.”

The question for American voters is stark: Does anybody care?

If we don’t close these loopholes now—through legislation, enforcement, or electoral accountability—we’re declaring that the American presidency is for sale to the highest bidder. The $4 billion price tag isn’t just what the Trump family has made. It’s what we’ve lost in democratic norms, ethical governance, and public trust.

The new number stands at $4.05 billion and counting.

Take Action

This isn’t a story we can afford to scroll past. Share this article with friends, family, and colleagues who care about government accountability. Contact your congressional representatives and demand:

• Mandatory divestment requirements for presidents and their immediate families
• Criminal penalties for using presidential influence for personal financial gain
• Independent ethics enforcement with real teeth
• Transparency requirements for all presidential family business dealings

Democracy isn’t a spectator sport. Your voice matters.

Leave a comment below sharing your thoughts on presidential profiteering. What reforms would make the biggest difference? What actions are you taking to hold our leaders accountable?

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