A shareholder of Circle Internet Financial, the company behind the USDC stablecoin, has sued President Donald Trump, his family’s World Liberty Financial venture and special envoy Steve Witkoff in the US District Court for the District of Columbia. The complaint, brought Thursday by J. Benjamin Greenberg, alleges that deals involving a UAE-linked entity diverted business from Circle and breached constitutional restrictions on foreign benefits.

Key Allegations in the Lawsuit

Greenberg, who holds 10,000 ordinary shares in Circle and previously worked there, claims the transactions created an unfair competitive advantage for World Liberty Financial’s USD1 stablecoin. He points to an Abu Dhabi-based investment vehicle, MGX, tied to UAE royalty, that invested $2 billion in the Binance exchange using USD1 in 2025. A separate vehicle backed by Sheikh Tahnoon bin Zayed Al Nahyan agreed to purchase a 49 percent stake in World Liberty Financial for $500 million shortly before Trump’s January 2025 inauguration.

The suit contends that these moves allowed foreign state-linked capital to flow through USD1, harming Circle’s market position. It further alleges that Trump, as co-founder of World Liberty Financial alongside his sons and Zach Witkoff, received indirect profits despite stepping back from active involvement after taking office. The complaint also references reported US policy approvals for advanced AI chip exports to the UAE and a pardon of Binance founder Changpeng Zhao, framing them as elements of broader arrangements benefiting the president.

Greenberg seeks a declaration that the president violated the Foreign Emoluments Clause, an injunction against similar activities without congressional approval, disgorgement of emoluments and compensatory and punitive damages. The filing is brought as a derivative action on behalf of Circle’s interests.

Context and Background on the Ventures

World Liberty Financial is a privately held fintech firm developing USD1, a dollar-pegged stablecoin positioned for global payments and settlement. Trump and his three sons co-founded the project before his inauguration, after which he discontinued personal involvement. The lawsuit highlights how UAE-backed transactions are said to have elevated USD1’s profile and value.

These deals occur against a backdrop of ongoing scrutiny of Trump family crypto interests. Public Citizen has reported that crypto ventures tied to the president generated $1.4 billion for him and his companies in 2025, while investors faced estimated losses of $4.7 billion. Critics, including some lawmakers, have raised concerns about conflicts of interest, especially around the stalled Clarity Act on digital asset regulation.

Defendants and Company Responses

Named defendants include President Trump, World Liberty Financial, several affiliate entities, and Steve Witkoff. The complaint names the president and Witkoff as co-founders of the crypto venture. Trump and the White House have denied any conflicts of interest, with a White House spokesperson describing the lawsuit as frivolous.

A Circle spokesperson stated that the company did not initiate, direct, authorize or participate in the filing and declined further comment on the pending litigation. Representatives for World Liberty Financial and Steve Witkoff did not respond to requests for comment.

Political Ramifications Ahead of Midterms

The case comes as the 2026 midterms approach, with early voting already underway in several states. Democratic candidates have highlighted the president’s crypto-related earnings, including more than $600 million from a single memecoin, in campaign advertising. The Foreign Emoluments Clause, which prohibits federal officials from accepting foreign payments without congressional approval, forms the legal core of the challenge.

Greenberg’s filing requests full disclosure of any additional foreign crypto payments and an accounting of billions in disputed transactions. The case remains pending under Greenberg v. Trump, 26-cv-03686, with no decision yet rendered.