Original Title: Silicon Valley's Man in the White House Is Benefiting Himself and His Friends

Original Authors: Cecilia Kang, Tripp Mickle, Ryan Mac, David Yaffe-Bellany, Theodore Schleifer, The New York Times

Original Translation: AididiaoJP, Foresight News

The New York Times published "Silicon Valley's Man in the White House Is Benefiting Himself and His Friends" on December 1, 2025, at 01:34 (UTC). The article pointed out conflicts of interest during David Sacks's tenure as the White House's AI and cryptocurrency czar. Subsequently, David Sacks tweeted that due to The New York Times' apparent lack of intention to write a fair report, he had hired the Clare Locke law firm, specializing in defamation litigation, to handle the matter. Below is the full translation of the article:

In July of this year, David Sacks, a senior technology official in the Trump administration, beamed as he took the stage in a neoclassical auditorium just blocks from the White House. He had convened top government officials and Silicon Valley executives for a forum on the booming artificial intelligence industry.

The forum's guest of honor was President Trump, who announced a "National Artificial Intelligence Initiative," partially drafted by seasoned venture capitalist David Sacks. In a nearly hour-long speech, Trump proclaimed AI as "one of the most crucial technological revolutions in world history." He then signed an executive order aimed at accelerating the industry's growth.

Among the esteemed audience were nearly all individuals, including the CEOs of chipmakers NVIDIA and AMD, as well as David Sacks's tech industry friends, colleagues, and business associates, who stood to benefit from Trump's directive.

One of the winners was none other than David Sacks himself.

The 53-year-old David Sacks has served in a highly advantageous "part-time" role within the federal government since January, influencing Silicon Valley policy in Washington while maintaining his role as an investor in Silicon Valley. As the White House's AI and cryptocurrency lead, his actions have included:

· Provided an astonishing White House networking pipeline to tech peers and worked to clear government barriers for AI companies, potentially bringing an estimated $200 billion in new sales to giants like NVIDIA.

· His proposed AI policy recommendations have sometimes contradicted national security advice, alerting some White House colleagues and raising questions about his priorities.

· Created conditions for personal gain. According to a analysis of his financial disclosure documents by The New York Times, he holds 708 tech investments, with at least 449 related to AI, which may directly or indirectly benefit from policies he helped shape.

The New York Times found that although many companies self-identified as AI firms, AI service providers, or had "AI" in their names, in their public filings, 438 tech investments were classified as software or hardware companies.

David Sacks also leveraged his government position to boost the visibility of his weekly "All-In" podcast and expanded related business ventures.

To illustrate the ethical complexities and intertwining conflicts of interest faced by David Sacks, the July AI summit is a prime example. David Sacks initially planned to host the forum through the "All-In" podcast he co-hosts with other tech investors. According to a proposal obtained by The New York Times, "All-In" had suggested to potential sponsors that each pay $1 million to participate in private events during the summit aimed at "bringing together President Donald Trump with top AI innovators."

President Trump spoke at a July AI summit in Washington, co-hosted by the tech podcast "All-In" and the tech conference "Hill & Valley Forum." Photo Credit: Kenny Holston/The New York Times

According to two sources familiar with the matter, this plan raised concerns among some officials, leading White House Chief of Staff Susie Wiles to intervene and prevent "All-In" from being the sole host of the forum.

Former Trump advisor and Silicon Valley billionaire critic Steve Bannon has criticized David Sacks as a typical representative of ethical conflicts in this administration, asserting that "the tech brethren have gone too far."

「Through this rising oligarchy, they are leading the White House down the path to destruction," he said.

David Sacks is able to serve in government in his capacity as a private sector practitioner because of his status as a 'Special Government Employee,' a title typically granted by the White House to experts who provide short-term advice to the government without pay.

In March of this year, David Sacks received two White House ethics waivers, stating that he is divesting or has divested most of his cryptocurrency and artificial intelligence holdings. The waivers state that his remaining investments have not yet reached a level that could affect his government service in a significant way.

However, what sets David Sacks apart as a 'Special Government Employee' is his extensive investments in hundreds of tech companies that could benefit from the policies he may influence. His publicly disclosed ethics filing, based on self-reported information, neither revealed the value of these remaining cryptocurrency and AI-related holdings nor specified the timeline of his claimed asset divestment, making it difficult for outsiders to assess whether his government service has brought a net gain.

White House spokesperson Liz Houston stated that David Sacks has addressed potential conflicts of interest. She described his insights as 'a valuable asset for President Trump's agenda to solidify American tech dominance.'

White House AI and cryptocurrency czar, 53-year-old David Sacks, photographed in September. His disclosure filings show he holds stakes in hundreds of tech ventures. Credit Haiyun Jiang/The New York Times

David Sacks' spokesperson Jessica Hoffman said, 'The claim of this conflict of interest is unfounded.' She stated that David Sacks has complied with Special Government Employee regulations and that the government ethics office determined he needed to divest from certain types of AI company investments, not all. She added that his government role has resulted in losses rather than gains.

At a White House dinner for tech executives in September, David Sacks expressed his honor in straddling the worlds of tech and government. 'To have a foot in both of these worlds is a great privilege,' he said.

「David's Domain」

Mr. David Sacks, photographed in 2005, who would later become an early employee of PayPal. Over the years, he has become a fixture in Silicon Valley.

David Sacks's road to the White House began in Silicon Valley.

Arriving in this tech hub as a Stanford undergraduate in 1990, he met classmates including Peter Thiel. Sacks later joined a startup, the future online payment company PayPal, along with Thiel and also Elon Musk.

After eBay acquired PayPal for $1.5 billion in 2002, this group started to angel invest in each other. Sacks backed Musk's SpaceX and Thiel's co-founded data analysis company Palantir. In turn, Thiel supported Sacks's business communication startup Yammer, which was later sold to Microsoft for $1.2 billion in 2012.

David Sacks and Elon Musk in 2006 in New York. They had worked together at PayPal and remained friends. Image source: Christian Grattan/Patrick McMullan, via Getty Images

In 2017, David Sacks founded Craft Ventures, which has invested in hundreds of startups, including those founded by his friends. Three years later, he co-founded the "All-In" podcast with friends and fellow investors Jason Calacanis, Chamath Palihapitiya, and David Friedberg.

In 2022, David Sacks became a key figure in Republican politics when he gave $1 million to a super PAC supporting former tech investor JD Vance, who had worked for Thiel, in his Senate bid.

Last year, David Sacks hosted a $12 million fundraising event for Trump at his San Francisco mansion. The dinner left a lasting impression on the then-presidential candidate.

"I love David's house. It's a great house," Trump said on the "All-In" show two weeks later.

After the election, the Trump team invited David Sacks to join the government. He agreed on the condition that he could remain at Craft, a wish that was granted.

"It's perfect for me," David Sacks said in December about his dual role.

Partnering with Nvidia

David Sacks opened the doors of the White House to Silicon Valley leaders. One of the most notable visitors was Nvidia CEO Jensen Huang.

Three people briefed on, but not authorized to discuss, the interaction between the two said that before David Sacks joined the government, the two did not know each other, but they developed a close relationship this spring.

With each side having its own agenda, the 62-year-old Jensen Huang sought government approval to sell Nvidia's sought-after AI chips globally, despite concerns that these components could enhance China's economic and military security. Huang believed that restricting the export of Nvidia chips would compel Chinese companies to develop stronger alternatives. Promoting Nvidia's technology would expand the AI industry, benefiting David Sacks and his friends' AI investments.

According to five people familiar with White House discussions, at a White House meeting, David Sacks echoed Jensen Huang's view that dominating globally with American technology was the best way to beat China. He worked to overturn Biden-era restrictions on overseas sales by American chip companies like Nvidia, and opposed provisions that could hinder foreign companies from purchasing American chips for international data centers.

Following the removal of these restrictions, David Sacks flew to the Middle East in May and struck a deal to send 500,000 American AI chips (mainly from Nvidia) to the United Arab Emirates. Sources said that such a large quantity raised concerns among some White House officials who feared that China, as an ally of the UAE, would have access to this technology.

However, this deal was a major win for Nvidia. Analysts estimate that its chip sales could reach as high as $200 billion.

President Trump with the ruler of the UAE, Sheikh Mohammed bin Zayed al-Nahyan, in Abu Dhabi in May. To Trump's immediate left is Commerce Secretary Wilbur Ross, followed by Mr. David Sacks. Photo Credit: Doug Mills/The New York Times

Ms. Hoffman said that David Sacks' thinking was informed by conversations with many parties, not just Jensen Huang, and that he "wants the entire U.S. tech industry to win." She stated that his holdings did not benefit from the UAE deal.

Nvidia spokesperson Milind Anglendan said that Commerce Secretary Wilbur Ross was the primary point of contact for the company's overseas sales of AI chips.

David Sacks praised the UAE deal in May on the "All-In" podcast: "I define victory as the whole world rallying around an American AI company," he said.

One obstacle remains to achieving this goal: lifting the U.S. ban on direct chip sales to China.

Four sources said that at the White House, David Sacks argued for lifting the ban by redirecting chip sales to Huawei's Chinese competitor Nvidia, inadvertently bolstering China's power.

In July, David Sacks and Huang Renxun presented this argument to Trump at a meeting in the Oval Office. Before the meeting ended, Trump approved Nvidia's chip sales to China.

David Sacks' Investment Portfolio

The White House praised David Sacks for minimizing his financial conflicts of interest.

A waiver obtained by David Sacks stated that he and Craft Ventures have sold over $200 million in cryptocurrency holdings (including Bitcoin investments) and are divesting shares in AI-related companies such as Meta, Amazon, and xAI.

The White House said David Sacks has begun or completed the sale of "over 99% of holdings that presented potential conflicts of interest concerns."

White House spokesperson Ms. Houston stated that before being able to divest conflicting interests or obtain a waiver, David Sacks avoided involvement in any matters that could affect his financial interests.

However, David Sacks' waiver does not fully reflect his wealth status or specify the timing of his sales of holdings in Meta, Amazon, and other companies.

According to a New York Times analysis, it is clear that David Sacks has retained 20 cryptocurrency investments and 449 AI-related investments either directly or through Craft.

Of these AI-related investments, 11 are designated as "AI Equities" in a waiver, with the remaining 438 categorized as software or hardware manufacturers, despite promoting AI product services on their websites or having "AI" in their names (such as Resemble.AI and CrewAI). For example, the waiver classifies Palantir as "software as a service," while the company's website claims to provide "AI-driven automated decision-making." 41 companies have "AI" in their names.

In a waiver, the White House stated that many software companies "do not currently have material applications of AI-related technologies in core businesses," but added that "many are likely to have in the future."

David Sacks's support in the White House-backed policy paved the way for his investment surge.

The "AI Action Plan" promotes AI inventions such as domestically produced drones for the Pentagon. According to disclosure documents, David Sacks holds stakes in defense tech startups like Anduril, Firestorm Labs, and Swarm Aero, which produce drones and other products. In September, Anduril announced a $159 million contract with the U.S. Army to develop AI-equipped night vision goggles.

Anduril spokesperson Shannon Pryor stated that the company's collaboration with the Army predated the AI Action Plan and attributed the contract to its founder Palmer Luckey being a "world-class designer of virtual reality headsets." Ms. Hoffman stated that including AI for military use in policy planning was a "straightforward concept."

This spring, David Sacks also backed the "GENIUS Act," a stablecoin regulation bill aimed at maintaining the stable price of a cryptocurrency at $1. He promoted the legislation on CNBC and advocated for its passage in Congress.

After the bill passed in July, David Sacks called it "historic" and "significant" on "All-In," anticipating significant expansion of stablecoin operations.

President Trump with David Sacks, as the President prepares to sign the "significant" GENIUS Act praised by David Sacks. Image Source: Haiyun Jiang/The New York Times

Craft's cryptocurrency investment BitGo collaborated with a stablecoin issuer. BitGo celebrated the passage of the "GENIUS Act" on its website and immediately seized the opportunity to claim that its services align "perfectly" with the new guidelines. "The wait is over," the website said.

In September, BitGo filed for an IPO. According to financial documents, Craft holds a 7.8% stake, valued at over $130 million based on BitGo's 2023 valuation.

BitGo declined to comment. Ms. Hoffman stated that the passage of the "GENIUS Act" did not bring "specific benefits" to BitGo.

Since David Sacks entered the White House, AI companies have continued to announce new investments from Craft. In July, Vultron, a startup developing AI software for government contractors, celebrated receiving $22 million in new funding and touted the contribution of "Craft Ventures co-founded by White House AI advisor David Sacks."

Vultron CEO Mark Liu said the financing was secured before David Sacks joined the government. "The announcement mentions David because he is a celebrity in the AI world," he said.

David Sacks remains on the board of Glue, the AI-powered chat platform startup he helped create. In October, Glue announced a $20 million new financing round, including investment from Craft.

Ms. Hoffman said David Sacks had stepped down from other company boards before joining the Trump administration but retained his position on the Glue board because "the system allows for it." She said this financing was completed last year. Glue did not respond to a request for comment.

Advancement of the "All-In" Podcast

In the March episode of "All-In," hosts Friedberg and Parihapatya stood outside the White House East Wing.

Parihapatya said they had just been "walking around" the White House, and the show inserted a photo of them walking through the panelled room and meeting David Sacks in the corridor between the East and West Wings.

The podcast hosts then interviewed Treasury Secretary Scott Benett to discuss economic policy. A few days later, they returned to the White House, bringing an interview with Lettenick for nearly two hours. Two months later, they interviewed the Secretaries of Agriculture and Interior. In September, "All-In" released a video of a private tour of Trump's Oval Office.

David Sacks sits to the right of President Trump, participating in the March White House digital asset summit. Since mid-2024, Trump has appeared on the "All-In" podcast three times. Photo Credit: Haiyun Jiang for The New York Times

David Sacks's government work has boosted the podcast's visibility, with monthly downloads reaching six million. Based on the estimated $7,500 ticket price and public attendance figures, ticket sales for this year's annual conference in Los Angeles are around $21 million, up from $15 million last year. In June, the podcast launched a $1,200 branded "All-In" tequila.

Ms. Hoffman said David Sacks had foregone income related to AI and cryptocurrency (such as sponsorships) but could participate in tequila and event ticket sales revenue sharing. Podcast CEO Jon Hale did not respond to a request for comment.

David Sacks's personal business and policy work converged at the July Washington AI event, where he designated "All-In" as the host.

However, two sources said White House Chief of Staff Wells did not want the government to be seen as endorsing the "All-In" brand. They said she requested adding a co-host. Ms. Hoffman said David Sacks reached out to the organizers of the annual tech and government officials summit, the "Hill and Valley Forum."

Visa and the New York Stock Exchange sponsored this AI summit, and the organizers refused to disclose the sponsorship amount. Ms. Hoffman said "All-In" incurred a loss from hosting this event and did "not hold a VIP reception." NYSE declined to comment, and Visa did not respond to a request for comment.

David Sacks described his White House experience as "amazing" at the event's opening and praised the government's work in the AI and cryptocurrency fields. He then handed over the hosting duties to his "All-In" partner, who interviewed NVIDIA's Jensen Huang and White House officials on stage.

In his keynote speech, Trump praised David Sacks as "very outstanding" and subsequently signed an executive order to expedite data center construction and AI system exports.

He then handed the presidential signing pen to David Sacks.

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