A new report suggests that David Sacks’ role as President Donald Trump’s artificial intelligence and cryptoczar could work out very well for his investments and those of his friends. However, Sacks fired back in a social media post, describing a five-month reporting process where he claims accusations were debunked in detail. He stated that the publication ultimately threw up its hands and published what he called a nothingburger. Sacks argued that anyone who reads the story carefully can see it strings together anecdotes that do not support its headline.
This is not the first time critics have suggested potential conflicts of interest between Sacks’ political role and his investments. For example, Senator Elizabeth Warren, a Democrat from Massachusetts, said earlier this year that Sacks simultaneously leads a firm invested in crypto while guiding the nation’s crypto policy. She characterized this as an explicit conflict of interest that would normally be prohibited under federal law.
The New York Times story offers a more comprehensive view, with an analysis of his financial disclosures suggesting that among Sacks’ 708 tech investments, 449 are AI companies that could benefit from the policies he supports. Sacks has received two White House ethics waivers declaring he would sell most of his crypto and AI assets. However, the report states his public ethics filings do not disclose the remaining value of his crypto and AI investments, nor do they say when he sold off the assets he divested.
A Washington University law professor specializing in government ethics, Kathleen Clark, made similar points in July after reviewing Sacks’ crypto waiver, telling another publication that the situation constitutes graft.
The New York Times also reported that Sacks’ filings classify hundreds of investments as hardware or software, rather than AI, while the companies pitch themselves as AI businesses in their marketing. To illustrate Sacks’ intertwined interests, the report pointed to a White House summit in July where Trump unveiled his AI roadmap. It was reported that White House chief of staff Susie Wiles stepped in to prevent the All-In podcast, which Sacks co-hosts, from being the only host of the event. The report also claimed the All-In podcast asked potential sponsors to pay one million dollars for access to a private reception and other events.
The New York Times further reported that Sacks became close to Nvidia CEO Jensen Huang this spring and has played a role in removing restrictions on Nvidia chip sales around the world, including in China. Right-wing media personality and former Trump adviser Steve Bannon said Sacks is emblematic of an administration where the tech bros are out of control.
Sacks’ spokesperson told the New York Times that this conflict of interest narrative is false. She stated that Sacks has complied with the rules for special government employees, that the Office of Government Ethics determined which investments he had to sell, and that his role in the government has cost him rather than benefited him. A White House spokesperson said Sacks has been an invaluable asset for President Trump’s agenda of cementing American technology dominance.
Sacks’ social media post responding to the Times includes a letter from a law firm he hired. The letter claims the reporters were given clear marching orders to find and report on a conflict of interest. The letter also addresses specifics of the story, including the All-In podcast’s role in the White House AI event. Sacks’ lawyers said the AI summit was a not-for-profit event and that the All-In podcast lost money hosting it. They stated that two sponsors were brought on to help partially defray the cost of the event, for which they received nothing but logo placements. The letter said no access to President Trump was ever offered and no VIP reception ever took place.