David Sacks, the newly appointed White House AI and Crypto Czar, has confirmed that he sold all of his cryptocurrency holdings—including Bitcoin (BTC), Ethereum (ETH), and Solana (SOL)—before the start of the Trump administration. His statement comes in response to rising concerns over potential conflicts of interest, given his deep connections in the crypto investment space.
Sacks addressed the matter on X, where he reposted a Financial Times report detailing his decision. In response to online speculation, he wrote:
“Correct. I sold all my cryptocurrency (including BTC, ETH, and SOL) before the start of the administration.”
This move aims to preempt any ethical scrutiny surrounding his role in shaping U.S. crypto policy while still being tied to crypto investments through Craft Ventures and Bitwise.
Sacks Undergoing Ethics Review as Ties to Bitwise Surface
Despite divesting his personal crypto holdings, questions remain regarding his involvement with Bitwise, a company offering exchange-traded funds (ETFs) for Bitcoin, Ethereum, XRP, Solana, and Cardano. Sacks is a founder of Craft Ventures, which retains stakes in several crypto-related startups, including Bitwise.
As a high-ranking government official overseeing AI and cryptocurrency policy, Sacks is now undergoing an official ethics review, as reported by The Financial Times. The review is expected to assess whether his prior investments or indirect affiliations pose any ethical conflicts.
After being community noted by the X algorithm which stated that Sacks still had indirect holdings via his investments in Bitwise Asset Management, the Czar quickly debunked the claim, stating that he will continue to provide transparency regarding his financial interests as he moves forward in his advisory role.
A Crucial Role in U.S. Crypto and AI Policy
Sacks’ appointment as the first-ever AI and Crypto Czar is a major development in the Trump administration’s approach to digital assets. His background as a tech entrepreneur and investor positions him to play a crucial role in shaping policy, establishing regulatory clarity, and balancing innovation with oversight.
Sacks’ appointment as the White House AI and Crypto Czar reflects the administration’s strategic emphasis on emerging technologies. In this capacity, he is tasked with:
- Developing a legal framework to provide clarity for the cryptocurrency industry.
- Safeguarding free speech online and addressing concerns related to Big Tech bias and censorship.
- Leading the Presidential Council of Advisors for Science and Technology, thereby influencing policy decisions at the intersection of technology and governance.
Sacks’s extensive background includes his tenure as Chief Operating Officer at PayPal and his role as founder of Yammer, which was acquired by Microsoft in 2012. His experience positions him well to navigate the complexities of AI and cryptocurrency policy.
However, his involvement with Crypto private ventures has already drawn positive scrutiny, especially given Trump’s recent announcement for a U.S. Crypto Strategic Reserve that includes Bitcoin, Ethereum, and other major digital assets. Critics argue that figures like Sacks, with extensive ties to the industry, must be held to high ethical standards to ensure fair policymaking.
Quick Facts
- David Sacks, appointed as the White House AI and Crypto Czar, sold all personal cryptocurrency holdings, including BTC, ETH, and SOL, before joining the administration.
- His venture capital firm, Craft Ventures, continues to invest in crypto startups, maintaining a stake in the industry’s development.
- As AI and Crypto Czar, Sacks will develop regulatory frameworks, protect online free speech, and lead the Presidential Council of Advisors for Science and Technology.
- The cryptocurrency industry views his appointment as a positive step toward clearer regulations and increased legitimacy.
