Democrats Probe After Trump-Tied Firms’ Crypto Buy, Drone Sale

AI Financial Corporation (NASDAQ: AIFC) agreed to buy Block Street Corp. for up to $43 million. Block Street, founded in late October 2025, aims to help companies issue digital tokens and expand payment systems into tokenized and real-world assets. Matthew Morgan, Block Street’s founder and largest shareholder, joined AI Financial as global head of vision after the acquisition. Morgan said Block Street was offered to multiple public companies in late 2025 and declined offers he described as having potentially more than $100 million in upside; he denied the transaction was self-dealing. Corporate records show Block Street has not yet reported revenue.

AI Financial announced in August 2025 a partnership with World Liberty Financial, an entity linked to the Trump family, to build a $1.5 billion cryptocurrency stockpile. Since that August announcement, AI Financial’s shares have fallen by more than 90 percent over the subsequent period.

Separately, Autonomous Power Corporation, which does business as Powerus, said it closed a sale of its Guardian-2 Interceptor systems after a U.S. Air Force trial. Powerus describes the Guardian-2 as a low-cost, semi-autonomous, high-speed counter-drone interceptor designed to detect, track and defeat Group 1-3 small unmanned aerial systems in austere environments. The company said the system is intended to provide a lightweight, deployable option for small teams operating outside forward bases.

Brett Velicovich, co-founder of Powerus, described the program as focused on saving lives and cited threats to critical infrastructure and personnel in the Middle East, adding that ‘The Guardian-2 works. The kill chain works.’ Powerus added Eric Trump and Donald Trump Jr. to advisory roles in March and has denied conflicts of interest related to those appointments.

Democratic lawmakers who have led prior inquiries into the Trump family’s business ties have opened investigations into related areas and sought records and communications. Senator Elizabeth Warren has pursued documents related to the family’s crypto connections, including a $314 million purchase of 16,000 Bitmain mining machines by a company tied to Eric Trump and requests for Commerce Department communications involving industry figures and Trump family members. Representative Maxine Waters has probed the Federal Reserve Bank of Kansas City’s decision to grant a limited-purpose master account to a crypto exchange. Senator Richard Blumenthal requested records about why the Securities and Exchange Commission dropped fraud charges against a major crypto investor and noted the timing of a senior enforcement official’s departure from the agency. Senators including Adam Schiff have joined earlier inquiries into events tied to the family’s crypto ventures, including a conference at Mar-a-Lago limited to large holders of a token linked to the Trump brand.

Lawmakers have sought internal agency records, communications and explanations in prior cases involving crypto-related purchases, regulatory decisions and meetings tied to the family. The recent AI Financial and Powerus transactions align with the areas under those existing inquiries and have been identified as matters lawmakers may review.