Trump-Backed Firm Partners with Chinese AI Firms Despite US Security Concerns

President Donald Trump's family-backed World Liberty Financial has partnered with Hong Kong-based venture WorldClaw to offer artificial intelligence (AI) models developed by Chinese companies flagged for national security concerns.

The collaboration between World Liberty and WorldClaw raises questions about the administration's stance on Chinese tech firms. The US Department of Defence has designated Alibaba, Baidu, Z.ai, and other Chinese companies as military-aligned, blocking them from Pentagon business.

WorldClaw offers access to 90 AI models, with nearly half developed by these restricted Chinese companies. The platform accepts World Liberty's crypto tokens as payment, earning the Trump family revenue through token sales and interest on US Treasury securities backing their stablecoin, USD1.

Seven experts on Chinese technology, trade, and government ethics expressed concern that this business collaboration contradicts the administration's stance towards Chinese tech companies. They argue it's hypocritical to use tools from China while trying to respond to its AI threat.

The Trump sons have promoted WorldClaw, with Donald Trump Jr. saying he would meet winners of a contest at Mar-a-Lago, and Eric Trump calling the collaboration 'the future of finance.' The family has earned over $1.4 billion from token sales through World Liberty, with a total of $2.3 billion in crypto earnings.