A crypto firm with deep ties to the family of U.S. President Donald Trump is at the center of a new financial and political network connecting Washington, the Gulf, and Pakistan, reshaping diplomatic relations through the channel of private digital asset ventures. World Liberty Financial (WLF), which benefits the Trump family financially, has formalized a partnership with Pakistan’s government, leveraging substantial Gulf capital to secure its position in the country's newly regulated crypto market.

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Key Takeaways

  • World Liberty Financial (WLF), a crypto firm benefiting the Trump family, has partnered with Pakistan's state-backed Crypto Council.

  • The partnership is bolstered by major Gulf investments, including a $100 million token purchase by Dubai's Aqua Labs and a $2 billion stablecoin transaction by Abu Dhabi's MGX Holdings.

  • Pakistan has moved swiftly to enact the Virtual Assets Ordinance, 2025, creating a regulatory framework for crypto assets.

  • The deals have drawn scrutiny from U.S. lawmakers, who cite potential Constitutional violations and national security concerns.

The Main Deal: A Tri-Regional Partnership Forms

According to official event records, the partnership between WLF and the Pakistan Crypto Council was formally signed on April 27, 2025, in a high-profile ceremony attended by Prime Minister Shehbaz Sharif, Army Chief General Asim Munir, and top financial regulators. This move effectively integrated the Trump-family-linked enterprise into Pakistan’s strategic initiative to modernize its economy through digital assets. The collaboration preceded the public announcement of significant Gulf investments, which served to fortify WLF’s financial standing and operational capacity for the venture.

Gulf Capital: The Financial Engine

A crucial element powering this network is capital from the Gulf region. In June 2025, Dubai-based Aqua Labs Investment LLC announced a $100 million purchase of WLF governance tokens. However, investigative observations note that the fund’s backer, Aqua1 Foundation, lacks fully transparent corporate filings in UAE registries. More significantly, Abu Dhabi’s MGX Holdings Ltd., chaired by powerful National Security Advisor Sheikh Tahnoun bin Zayed Al Nahyan, utilized WLF’s stablecoin to settle a $2 billion transaction with crypto exchange Binance earlier in 2025. MGX is linked to Abu Dhabi’s sovereign wealth apparatus, illustrating deep state involvement in the crypto venture.

Pakistan’s Regulatory Gambit

In response to this collaborative momentum, Pakistan’s government issued the Virtual Assets Ordinance, 2025, under a constitutional provision allowing immediate effect. The ordinance establishes a regulatory framework for virtual asset activities, aligning the nation’s crypto market with international transparency and anti-money laundering standards. This rapid regulatory action, following the launch of the Pakistan Crypto Council in March 2025, demonstrates the government's commitment to attracting digital finance investment and facilitating partnerships like the one with WLF.

Political Scrutiny and Security Concerns

The intertwining of a sitting U.S. president’s family business with foreign states has not gone unnoticed. U.S. Senators Elizabeth Warren and Jeff Merkley have flagged the $2 billion MGX-Binance deal facilitated by WLF as a potential violation of the U.S. Constitution’s Emoluments Clause. Further concerns are raised by Sheikh Tahnoun’s central role, which spans UAE national security and includes approvals for advanced technology transfers that risk diversion to China. Reports also suggest that investigations involving WLF have been affected by large payments to the company, combined with a presidential pardon for a WLF-affiliated investor.

What It Means for Crypto and Geopolitics

For the crypto industry, this development highlights how digital asset enterprises are increasingly becoming instruments of economic statecraft and geopolitical alignment. The situation demonstrates a blurring of lines between public policy and private commercial interests, with a major nation-state like Pakistan leveraging crypto regulation to attract specific, politically-connected capital. Traders and investors should monitor the increasing scrutiny from U.S. lawmakers, as potential investigations or regulatory actions could impact market sentiment and the stability of associated tokens and stablecoins.

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