Circle shareholder sues Trump over UAE-linked payments to World Liberty Financial

MGX: MGX is an Abu Dhabi investment firm chaired by Sheikh Tahnoon bin Zayed Al Nahyan. The firm completed a $2 billion investment in Binance using the USD1 stablecoin issued by World Liberty Financial. The choice of stablecoin is cited in the lawsuit as diverting potential reserve income from Circle's USDC. Circle: Circle is the issuer of the USDC stablecoin. The company is the target of a derivative lawsuit claiming that deals involving a competing stablecoin have diverted business and associated reserve income away from USDC. Circle has stated that it did not initiate, direct, authorize, or participate in the filing. Anna Kelly: Anna Kelly is a White House spokesperson. She has described the lawsuit as yet another frivolous filing and stated that there are no conflicts of interest. Donald Trump: Donald Trump is the President of the United States whose family is connected to World Liberty Financial. He is the defendant in a derivative lawsuit filed by a Circle shareholder that challenges payments and investments tied to the president's family crypto venture under constitutional provisions. The White House has characterized the suit as frivolous. Steve Witkoff: Steve Witkoff is a co-founder of World Liberty Financial and serves as Middle East Special Envoy. He is named as a defendant in the derivative lawsuit alongside Trump-linked holding companies. The suit seeks damages and other remedies from parties connected to the firm. David Wachsman: David Wachsman is a spokesperson for World Liberty Financial. He has publicly responded to the lawsuit by stating that the claims are without merit and that the firm looks forward to resolving them in court. Aryam Investment 1: Aryam Investment 1 is an investment entity linked to Sheikh Tahnoon bin Zayed Al Nahyan. It completed a $500 million investment for a stake in World Liberty Financial in January 2025, with portions of the proceeds alleged to have reached Trump family entities. The deal is central to the constitutional claims in the pending lawsuit. J. Benjamin Greenberg: J. Benjamin Greenberg is a software engineer who worked at Circle from 2016 to 2018 and remains a shareholder in the company. He filed the derivative lawsuit against President Trump and related parties on Circle's behalf in the U.S. District Court for the District of Columbia. The complaint focuses on alleged emoluments violations and lost business for the company. World Liberty Financial: World Liberty Financial is a crypto firm associated with the Trump family that issues the USD1 stablecoin. The entity is named in a lawsuit alleging that UAE-linked investments and payments to the firm violate the Foreign Emoluments Clause and steer business away from competing stablecoins. Spokespersons for the firm have described the claims as without merit. Sheikh Tahnoon bin Zayed Al Nahyan: Sheikh Tahnoon bin Zayed Al Nahyan is the UAE’s national security adviser who chairs the Abu Dhabi investment firm MGX. The lawsuit links him to investment entities Aryam Investment 1 and MGX that participated in deals with World Liberty Financial. These connections form the basis of the emoluments clause allegations. Litigation: A derivative lawsuit alleges that UAE-linked investments and stablecoin usage in deals involving World Liberty Financial violate the Foreign Emoluments Clause and divert business from Circle. Regulatory Challenge: The suit seeks judicial declarations barring further payments without congressional consent, an accounting of proceeds, and remedies including damages directed to the U.S. Treasury. Stablecoin Competition: USD1, issued by World Liberty Financial, is positioned as a direct competitor to USDC, with both relying on interest from reserves as a primary revenue source.