David Sacks, President Donald Trump’s crypto and artificial intelligence Czar, came under fire this week after accusations that he could financially benefit from Trump’s announcement of an American strategic cryptor reserve.

The initiative that Trump shared on Sunday would involve the government, which has a reserve with digital assets, including Bitcoin (BTC), Ethereum (ETH), XRP, Cardano (ADA) and Solana (Sun). Critics raised concerns that individuals in the administration with ties to these assets could stand to win at the move.

SACKS, a venture capitalist with previous crypto investments, quickly became a rallying point for the controversy. Over the weekend and into Monday he responded to X (formerly Twitter) and rejected accusations that he had a financial interest in politics. He said he had sold himself from all his personal crypto-related possessions before joining the administration, including his share in Multicoin Capital, a cryptophocused investment company.

However, a lingering question was whether Craft Ventures – Sacks’ Venture Capital Company – had retained its investments in Bitwise, a crypto index fund manager who sacks helped finance back in 2017. Bitwise’s investment products include an ETF that has all the assets mentioned in Trump’s strategic reserve, Government’s crypto purchase.

On Tuesday, a source close to Craft Ventures confirmed to Coindesk that the fund left its position in Bitvis before the start of the president’s second administration. Webs -Ventures -Web site was also updated on Tuesday to reflect that it had left its bit of investment in January 2025.

Craft Ventures, Bitwise and Sacks have not yet commented on the apparent exit. The source close to Craft Ventures told Coindesk that the company has not commented publicly so as not to disrupt Sacks’s state approval process, which is currently underway.

In his defense on social media, Sacks rejected the entire controversy. “The accusation that people who are already very successful in business are entering government to make more money is a lazy and stupid tale,” he wrote. “As I have learned, the servant of the government involves considerable disturbance and divestment of one’s business interests.”

The debate over Trump’s proposed reserve continues to share the crypto community. Some of the president’s crypto supporters claim that only Bitcoin reserve would be preferable, while others question whether the government should be involved in digital asset stocks and argues that government intervention in the crypto area contradicts the industry’s decentralized ideals.

Questions about conflict of interest also continue to swirl around the president himself. The Trump-backed Crypto Startup World Liberty Financial has a treasury of approx. $ 500 million for crypto assets, including some listed in his Sunday reserve message.