A spokesperson for David Sacks, the US AI and Crypto Czar, has refuted allegations that he has exceeded the 130-day limit as a special government employee. The spokesperson announced to CNBC on Wednesday that Sacks has carefully managed his Special Government Employee (SGE) days to ensure he stays below the threshold, and these days do not have to be consecutive.
The clarification comes after Senator Elizabeth Warren, along with other US legislators, questioned whether Sacks has surpassed the allowable number of days in his short-term federal role. In a letter to Sacks, the legislators wrote, “We are investigating whether you have exceeded the time limit for your temporary role as a special advisor to the White House for AI and Crypto.”
Legislators’ Concerns and Sacks’ Background
Sacks, a well-known figure in the crypto industry, was appointed in December 2024, sparking excitement and speculation about how he would enforce crypto regulations before the 2026 mid-term elections. The group of legislators, including Warren, argued that as an SGE, Sacks should disclose how many days he has worked since January 20, the inauguration of US President Donald Trump.
As of Wednesday, 167 weekdays (excluding US holidays) have passed since Trump’s inauguration. This means that to stay within the 130-day limit, Sacks would have to have taken at least 37 days off during this period. SGEs are limited to 130 days to prevent conflicts of interest, as they often maintain their private sector jobs while temporarily serving the government.
Extract of the letter to David Sacks from the US legislature. Source: Elizabeth Warren
Conflict of Interest Concerns
Legislators have raised concerns that Sacks is “deeply invested” in crypto and AI companies, which could create conflicts of interest. They argued, “Through craft companies and their other stocks, they are deeply invested in the crypto and AI companies that they have the power to impact as crypto and AI tsar.” The White House has waived ethics restrictions, allowing Sacks to maintain these investments in the industries they regulate.
CoinTelegraph reached out to David Sacks but did not receive a response at the time of publication. This is not the first time Sacks has faced scrutiny from Warren, who had previously questioned his claims of selling all crypto assets before Trump’s inauguration.
Previous Scrutiny and Concerns
Warren had asked Sacks to provide proof of his claims that he no longer held digital assets. In a letter to Sacks, Warren suggested that Trump and “other private individuals” would benefit directly from the digital asset guidelines of the executive.
She expressed concerns about potential conflicts of interest from Sacks and requested that he provide financial disclosures with the Office of Government Ethics and indicate information about his alleged status as a “special employee”.
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