Sacks and his VC firm sold over $200M in crypto and stocks before WH role
David Sacks, the newly appointed White House AI and crypto czar, has rapidly divested a staggering $200 million invested in cryptocurrencies and associated equities, according to a memorandum released by the White House. The document outlined a pre-inauguration sell-off to mitigate any potential conflicts of interest as Sacks transitioned to a high-level governmental role focused on shaping a regulatory framework for the digital asset industry.
The memorandum, dated March 5, reveals that Sacks personally accounted for $85 million of the liquid digital assets sold, which included significant holdings in major cryptocurrencies like Bitcoin (BTC), Ether (ETH), and Solana (SOL). This strategic divestment was completed ahead of U.S. President Donald Trump’s inauguration on January 20, during which Sacks assumed responsibilities that include advising on policies affecting the burgeoning cryptocurrency sector.
In addition to his personal assets, Sacks oversaw the offloading of investments held by Craft Ventures, the venture capital firm he co-founded in 2017. The firm’s portfolio saw similar reductions, with sales of shares in publicly traded companies such as Coinbase (COIN) and Robinhood (HOOD), along with stakes in private digital asset firms.
Concerns regarding Sacks’ financial interests were amplified by a letter from Massachusetts Senator Elizabeth Warren, who, on March 6, requested clarification about the exact timeline of his divestments. "Despite your public statements via X, it remains unclear exactly when you personally divested from BTC, ETH, and SOL,” Warren asserted. This scrutiny highlights the heightened expectation for transparency and integrity among individuals operating at the intersection of government and industry.
Since taking office, Sacks has not been shy in voicing his stance on several contentious issues within the crypto space. He has championed the establishment of a Strategic Bitcoin Reserve intended to bolster U.S. economic stability and has argued against excessive taxation of cryptocurrency transactions. In a recent episode of the All In Podcast, Sacks critiqued a proposed 0.01% tax on crypto transactions, drawing parallels to the gradual escalation of income tax in the United States.
In parallel with his fiscal maneuvers, Sacks continues to influence discussions surrounding cryptocurrency’s role in future economic policy. His efforts thus far indicate a commitment to creating an environment conducive to innovation while navigating the complexities inherent in regulatory frameworks.
For more detailed insights into the content and implications of the memorandum, you may refer to it directly here.
