Author: Bit Push BitpushNews Mary Liu
Recently, a memorandum disclosed by the White House revealed a major move by David Sacks, Trump's AI and cryptocurrency advisor, before taking office: selling over $200 million worth of digital asset-related investments.
Details of the Liquidation
According to a memorandum written by White House legal counsel David Warrington, Sacks and his venture capital firm Craft Ventures liquidated their cryptocurrency and related assets before taking office.
The document shows that at least $85 million was "directly attributable to Sacks." The assets sold included mainstream Bits such as Bit, Ethereum, and Solana, as well as shares in the Bitwise 10 Crypto Index Fund and stocks in Coinbase and Robinhood.
In addition, Sacks also began liquidating his equity stakes in private digital asset companies, including limited partnership interests in crypto investment funds such as Multicoin Capital and Blockchain Capital.
In a recent episode of the All-In podcast, Sacks explained that the sale was to avoid "any impression of a conflict of interest." He stated, "I didn't want to give any impression of a conflict of interest, especially as I was about to take on a government role."
Just How 'Wealthy' is Sacks?
David Sacks is a legendary figure in Silicon Valley, a core member of the 'PayPal Mafia.' He joined Confinity (later renamed PayPal) in 1999 as Chief Operating Officer, driving the transformation from a security software to an electronic payment platform. In 2002, PayPal went public, making Sacks a star in Silicon Valley.
After PayPal, in 2008, Sacks founded the enterprise collaboration platform Yammer, which he sold to Microsoft for $1.2 billion in 2012. In 2017, he co-founded the venture capital firm Craft Ventures, focusing on early-stage SaaS and marketplace platform investments, with over $3.3 billion in assets under management. He has also ventured into film production, investing in well-known films such as 'Thank You for Smoking' and 'Dali Land'.
As an angel investor, Sacks' portfolio includes over 20 tech unicorns such as Facebook, SpaceX, Uber, and Airbnb. His investment acumen is precise, and his scope is broad, including AI and Bits.
Sacks is also one of the four hosts of the popular podcast 'All-In,' discussing tech, business, and political topics with Jason Calacanis, Chamath Palihapitiya, and David Friedberg. The podcast has attracted a large subscriber base since its launch in 2020, becoming an important voice in the tech community.
Although Sacks' net worth has never been publicly disclosed, Fortune magazine estimates it could reach around $2 billion by the end of 2024. His wealth primarily comes from his early equity in PayPal, the sale of Yammer, investment returns from Craft Ventures, and his stakes in multiple unicorn companies. Additionally, he has invested in the Bit sector, including projects like BitGo and Lightning Labs.
Crypto Advisor to the Trump Administration
In 2024, Sacks was appointed as Trump's AI and Bit advisor, responsible for shaping digital asset-related policies. At the White House Bit Summit, he discussed with other key policymakers how to make the US a global leader in Blockchain technology. Sacks advocated for reducing over-regulation of Bits, actively promoting discussions on the regulation of stablecoins, DeFi, and CBDCs.
On March 6th, Trump signed an executive order announcing that the US will establish a strategic Bit reserve, funded entirely by tokens seized in criminal and civil forfeiture cases, ensuring no additional burden on taxpayers. The order also created a US Digital Asset Reserve, managed by the Treasury Department, to hold other forfeited Bits. As Trump's AI and Bit advisor, Sacks played a key role in shaping this policy.
At Least Six Members of Trump's Cabinet Hold Bit
Notably, several members of Trump's cabinet hold Bit or other crypto assets.
According to financial disclosures from December 2024 to January 2025, 6 out of the 22 cabinet members have officially declared holding Bit, including Health Secretary Robert F. Kennedy (between $1 million and $5 million), Treasury Secretary Scott Basent (between $250,000 and $500,000), and Transportation Secretary Sean Duffey (over $550,000).
Allegations of Manipulation
The potential conflicts of interest in the crypto sector within the Trump administration have recently come under scrutiny. Sacks claimed that he liquidated all his Bits before taking on the advisory role, but renowned economist Peter Schiff publicly questioned Sacks:
"What about your family, friends, and former colleagues? I'm sure they also held these tokens, even if they may have sold them in the market rally following the policy announcement. I'm also confident that you personally benefited greatly from Trump's victory, as it caused a stir, including your appointment and the campaign promises he made."
Although some cabinet members have promised to divest their Bit assets to avoid conflicts of interest, their holdings could still influence policymaking, drawing criticism from many Democrats.
Senior Democrat Elizabeth Warren recently publicly demanded the disclosure of the identities of those who helped Trump determine the strategic Bit reserve assets, and to confirm whether they are subject to conflict of interest laws. She stated that "these actions could benefit billionaire investors, insiders in the Trump administration, and speculators, while harming middle-class families."
