U.S. Senate Committee on Banking, Housing, and Urban Affairs
03/30/2026 | Press release | Distributed by Public on 03/30/2026 12:27
Warren Questions Commerce Secretary Lutnick on National Security Risks Posed by Chinese Chip Company with Reported Ties to the Trump Family
March 30, 2026
Previous ArticleWarren Questions Commerce Secretary Lutnick on National Security Risks Posed by Chinese Chip Company with Reported Ties to the Trump Family
"In light of Trump family ties to the company, it is more important than ever that the Commerce Department is transparent regarding its actions surrounding Bitmain."
"As Congress considers digital asset market structure legislation, we must ensure that politically connected crypto interests do not receive special treatment and undermine our national security."
Washington, D.C. - U.S. Senator Elizabeth Warren (D-Mass.), Ranking Member of the Senate Banking, Housing, and Urban Affairs Committee, sent a letter to Howard Lutnick, Secretary of the Department of Commerce, questioning the Department's efforts to address national security risks posed by the Chinese chip company Bitmain-a manufacturer of cryptocurrency mining hardware-especially as it maintains close ties to American Bitcoin, a cryptocurrency mining venture co-founded by President Trump's son, Eric Trump.
The Senator emphasized that Bitmain presents serious national security risks. Last year, the Department of Commerce blacklisted Sophgo Technologies Ltd. ("Sophgo"), an affiliate of Bitmain, for "acting at the behest of Beijing to further the [China's] goals of indigenous advanced chip production, which poses a risk to U.S. and allied national security." Recent reports have also described federal investigations into whether Bitmain equipment could pose risks to U.S. infrastructure, including the possibility that certain devices could be remotely manipulated or create vulnerabilities in the power grid.
"Facing potential investigations, Bitmain's strategy has reportedly been to enter into 'an alliance with one of President Donald Trump's children,' specifically Eric Trump, who is the cofounder of the crypto mining company American Bitcoin., In a recent interview, sitting next to his business partner Eric Trump, American Bitcoin CEO Michael Ho confirmed that Bitmain 'has been a leading manufacturer for us.'" wrote the Senator.
"Bitmain gave Eric Trump's American Bitcoin 'unusual' terms, including exchanging hundreds of million dollars worth of equipment for future, 'pledged,' Bitcoin rather than cash-a deal that some industry experts viewed as 'distinctly generous to American Bitcoin.'" wrote the Senator. "As reports have summarized, this 'underscores the Trump sons' business dealings with Bitmain, presenting another potential conflict of interest for the president as his family explores new ventures in cryptocurrencies while his administration is loosening restrictions on them."'
The Senator concluded: "It is unclear what steps, if any, the Commerce Department is taking to address Bitmain's potential national security concerns. In light of Trump family ties to the company, it is more important than ever that the Commerce Department is transparent regarding its actions surrounding Bitmain. National security decisions on U.S. export controls and trade laws must be insulated from improper political influence."
The Senator requests written responses to understand the actions that the Commerce Department has taken to assess whether to take any enforcement actions against Bitmain and Sophgo by April 9, 2026.
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