Key Highlights
- Sacks Rejects Allegations: On March 8, 2025, David Sacks called conflict of interest claims “lazy and stupid” on The All-In Podcast, denying he manipulated the U.S. crypto reserve for gain.
- $200 Million Divestment: Sacks sold over $200 million in crypto—including Bitcoin, Ethereum, Solana, and stakes in Bitwise and Multicoin—before his unpaid White House role, arguing it cost him financially.
- Reserve Role Under Fire: Critics like Senator Warren allege Sacks influenced altcoin picks for the $17 billion reserve, benefiting his past investments, though he insists his divestments and the March 7 summit focus on national strategy.
David Sacks, White House AI and crypto czar under President Donald Trump, forcefully rejected allegations of conflicts of interest tied to his role in shaping U.S. cryptocurrency policy, branding them “a lazy and stupid narrative” in a March 8, 2025, episode of The All-In Podcast. Facing scrutiny over his past crypto investments and potential influence on the Strategic Bitcoin Reserve, Sacks detailed divesting over $200 million in digital assets—including Bitcoin, Ethereum, and Solana—before joining the administration, a move he insists proves his commitment to ethical governance over personal gain.
The controversy erupted after Trump’s March 2 announcement of a U.S. crypto reserve featuring Bitcoin, Ethereum, XRP, Solana, and Cardano, which sent markets soaring—Bitcoin briefly hit $94,000 before settling at $86,000 by March 8. Critics, including Senator Elizabeth Warren, suggested Sacks, a venture capitalist with ties to crypto funds like Bitwise and Multicoin Capital, could profit from steering reserve selections. “People claimed I was pumping my bags or creating exit liquidity,” Sacks said on the podcast, calling such accusations slanderous and tantamount to criminal allegations. He dismissed the notion that a successful businessman would join government for profit, noting, “I was making money before—this disrupts my business interests.”
Sacks confirmed selling all personal crypto holdings prior to his unpaid consulting role, including a $74,000 stake in Bitwise’s ETF on January 22, 2025, as clarified in an X post responding to a community note. His venture firm, Craft Ventures, also exited Bitwise ahead of the administration, per CoinDesk, though it retains stakes in other crypto entities. “Divesting costs me—taxes or discounts,” he explained, arguing that the financial hit refutes claims of self-enrichment. On X, he challenged critics to await his full ethics disclosure, slamming “baseless and hysterical smears” and affirming he sold Multicoin Capital’s stake voluntarily before required, despite market volatility risks.
For the crypto community, Sacks’s rebuttal highlights a tension between regulatory ambition and personal stakes. He views his role as service to “the people and Trump,” despite losses, while his divestment aligns with avoiding ethical traps as the reserve takes shape. With the summit setting a global precedent, Sacks’s defense seeks to shift focus from personal gain to policy impact—though doubts linger as his ethics process unfolds.
Disclaimer: TrueToCrypto.com (the “Website”) is for general informational purposes only and is obtained from independent sources that are believed to be reliable. However, TrueToCrypto.com, its owners, affiliates, officers, employees, and agents (collectively, “We,” “Us,” or “Our”) make no representations or warranties, express or implied, as to the accuracy, completeness, timeliness, reliability, or suitability of the information contained on or accessed through this Website. Further read Disclaimer.
