Democrats have secured control of the US House of Representatives in the 2026 midterm elections, putting President Donald Trump’s family cryptocurrency businesses in line for congressional investigations once the new Congress takes office.
Summary
- Democrats have regained control of the US House of Representatives, giving them the authority to investigate President Donald Trump’s family cryptocurrency ventures through congressional subpoenas.
- World Liberty Financial is among the potential targets, with lawmakers expected to examine a reported $500 million investment by an Emirati royal and the company’s foreign ownership arrangements.
- Incoming House Oversight Committee chair Robert Garcia has promised investigations into Trump family business dealings, including cryptocurrency transactions and potential conflicts of interest.
- Reuters previously estimated that Trump family cryptocurrency ventures generated at least $2.3 billion in earnings, while investors in associated tokens suffered substantial losses.
- Democrats could begin their investigations as early as February 2027, with plans to seek records from private companies and individuals connected to the Trump family’s businesses.
According to NBC News and MS NOW projections, Democrats won enough seats on Tuesday to regain the House majority, with Representative Robert Garcia of California expected to lead the House Oversight Committee and pursue investigations into the family’s financial dealings, including World Liberty Financial.
Garcia responded to the election results with a two-word warning, “Lawyer up,” as his office outlined plans to investigate alleged corruption involving the Trump administration and businesses connected to the president.
The committee’s planned investigations include cryptocurrency transactions, potential conflicts of interest involving foreign investors, and government contracts awarded to companies with ties to Trump’s relatives.
Democrats have previously sought information about several of these arrangements, but their new majority will give them the authority to issue subpoenas for documents and testimony without requiring cooperation from the White House.
World Liberty Financial could face early congressional scrutiny
Among the businesses facing potential investigation is World Liberty Financial, the cryptocurrency company associated with Trump and his family, which has attracted attention from Democratic lawmakers over its investors and financial arrangements.
One particular transaction involves a $500 million investment by Sheikh Tahnoon bin Zayed Al Nahyan, the UAE’s national security adviser, whose investment vehicle reportedly acquired a 49% stake in the company shortly before Trump’s January 2025 inauguration.
The investment has raised questions among Democrats because of World Liberty’s plans to establish a federally regulated trust bank that would handle its USD1 stablecoin.
The Office of the Comptroller of the Currency granted preliminary conditional approval to World Liberty Trust Company on August 14, although the company still requires final authorization before beginning operations.
As previously reported by crypto.news, Tahnoon and his co-investors reportedly control 49% of the bank’s holding company, while an entity affiliated with the Trump family owns another 38%.
House Democrats had previously asked Treasury Secretary Scott Bessent to investigate the foreign investment, but the request did not carry the legal force of a congressional subpoena.
The family’s cryptocurrency income has already attracted considerable attention. Reuters estimated that Trump family crypto ventures generated at least $2.3 billion in earnings, while investors in associated tokens suffered substantial losses as prices declined.
A separate analysis of financial disclosures showed that Trump reported more than $1 billion in cryptocurrency-related income for 2025, including approximately $635 million in royalties associated with the TRUMP meme coin.
Another potential subject involves Trump’s presidential pardon of Binance founder Changpeng Zhao, whose exchange had business connections with World Liberty Financial through its USD1 stablecoin.
Democrats have questioned the circumstances surrounding the pardon, although Zhao denied business ties to the Trump family and said he had not discussed any arrangement involving clemency.
Democrats plan to examine Trump family business deals beyond crypto
Beyond cryptocurrency, the incoming Democratic majority intends to examine business arrangements involving Donald Trump Jr., Eric Trump and Jared Kushner.
Garcia told Punchbowl News that investigators would look at family members who were “sitting on boards and getting contracts,” alongside other financial relationships involving companies seeking government business.
The committee has already requested an investigation by the Pentagon’s inspector general into whether companies that employed or granted ownership interests to Eric Trump or Donald Trump Jr. subsequently received favorable treatment in federal defense contracting.
According to House Oversight Democrats, businesses connected to the president’s sons have received more than $725 million in government loans, grants and awards since Trump returned to office.
Investigators could examine the circumstances surrounding those awards, including the companies’ relationships with Trump family members and the government agencies responsible for the funding.
Corporate donors involved in Trump’s White House ballroom project are among the other potential targets, as Democrats prepare to examine relationships between private businesses and the administration.
Garcia has indicated that the committee could move quickly against administration officials, including acting Attorney General Todd Blanche, with subpoenas possible from the first day of Democratic control.
The planned inquiries could begin as early as February 2027, when the new congressional committees have established their leadership and investigative priorities.
House majority gives Democrats subpoena powers despite Trump veto threat
Although Democrats have regained control of the House, their ability to enact legislation remains constrained by Trump’s presidential veto authority.
The president has threatened to “veto everything” if Democrats take control of Congress, while overriding such a decision requires a two-thirds majority in both chambers.
Incoming House Democratic leader Hakeem Jeffries has identified priorities including reversing Medicaid cuts, extending Affordable Care Act subsidies, restoring congressional authority over tariffs and ending the war with Iran.
The party can block Republican legislative proposals and spending measures, but its oversight committees can conduct investigations independently of presidential approval.
Democrats expect resistance from the White House and are considering subpoenas directed at private businesses and individuals to obtain records that administration officials might refuse to provide.
During Trump’s first presidency, his administration resisted congressional document requests and invoked executive privilege in disputes with Democratic investigators.
The White House has rejected the latest investigation plans. Ahead of the election, spokeswoman Lauren Bis told Newsweek that Democrats’ “only agenda is to continue their decade long witch hunt against President Trump.”
Garcia has separately promised investigations into alleged misconduct involving former Homeland Security Secretary Kristi Noem and Corey Lewandowski, along with the administration’s handling of records connected to Jeffrey Epstein.
