How Trump’s Crypto Business Partners Left Their Old Clients in the Lurch
From Dough Finance Collapse to World Liberty Financial: A Controversial Transition
In 2024, Dough Finance, a decentralized finance (DeFi) platform co-founded by Chase Herro and Zak Folkman, suffered a significant security breach, resulting in investor losses exceeding $1 million. Despite initial promises to reimburse affected clients, the co-founders failed to fulfill these commitments. Subsequently, they launched a new venture, World Liberty Financial, in collaboration with Donald Trump and his sons, raising ethical concerns about their business practices .
World Liberty Financial quickly attracted substantial investments, including a notable $30 million from Chinese billionaire Justin Sun. This influx of capital coincided with the U.S. Securities and Exchange Commission dropping its investigation into Sun, raising questions about potential conflicts of interest .
Ethical Implications and Investor Concerns
The transition from Dough Finance to World Liberty Financial has sparked debates about the ethical responsibilities of business leaders, especially when previous ventures have left investors at a loss. The involvement of a former U.S. president and his family in such ventures further complicates the narrative, blurring the lines between political influence and business interests.
Conclusions
The case of Dough Finance and World Liberty Financial underscores the importance of transparency and accountability in the rapidly evolving crypto industry. As high-profile individuals engage in these ventures, investors and regulators must remain vigilant to ensure ethical standards are upheld and investor interests are protected.
