David Sacks, recently appointed as the “AI and Crypto Czar” in the Trump administration, is facing scrutiny over his cryptocurrency ties despite publicly stating he had sold all his holdings before taking the role. The controversy erupted after Sacks tweeted: “Correct. I sold all my cryptocurrency (including BTC, ETH, and SOL) prior to the start of the administration.”
Not long after, users on X (formerly Twitter) attached a Community Note to his post, claiming he still had “large indirect holdings” through Bitwise Asset Management. Since Bitwise runs crypto-focused funds and ETFs, people started questioning whether Sacks still had financial ties to the crypto industry.
Replying to the community note, denying any indirect holdings, David stated, “This community note is a lie. I had a $74k position in the Bitwise ETF which I sold on January 22. I do not have “large indirect holdings.” I’ll provide an update at the end of the ethics process.”
While Sacks has personally divested from cryptocurrency, questions remain about his firm, Craft Ventures, which continues to hold investments in crypto-related businesses, including Bitwise, BitGo, and Multicoin Capital. The latter is particularly notable for its substantial involvement with Solana, a blockchain network competing with Ethereum.
The situation has sparked fresh debates about whether government officials should have ties to industries they help oversee. Some critics say that even though Sacks sold off his personal crypto, his company, Craft Ventures, still has money in crypto businesses—so he’s not completely out of the game.
With more people questioning his role, Sacks has promised to clear things up once the ethics review wraps up. Until then, the conversation about how separate he really is from the crypto world isn’t going away.
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