U.S. President-elect Donald Trump appointed David O. Sacks as the “White House AI and Crypto Czar.” The announcement, made Thursday on Truth Social, highlights Sacks’ role in shaping the administration’s approach to two of the most pivotal sectors in today’s global economy.

David Sacks: Silicon Valley Veteran and Venture Capitalist

David Sacks is a well-known figure in Silicon Valley, best recognized for his role as the former chief operating officer (COO) of PayPal. His ties to the tech industry, particularly the PayPal Mafia—the group of entrepreneurs who emerged from PayPal’s early years—have earned him a reputation as a key player in the digital economy. 

After PayPal’s acquisition by eBay, Sacks ventured into Hollywood, producing the satire Thank You for Smoking. He later returned to Silicon Valley to found Yammer, a workplace communication platform acquired by Microsoft in 2012 for $1.2 billion.

In 2017, Sacks founded Craft Ventures, a venture capital firm where he has invested in several prominent companies, including Elon Musk’s SpaceX.  

David Sacks has invested in several cryptocurrency projects through Craft Ventures, which also holds stakes in Multicoin, a venture capital firm that was a major supporter of Solana in 2018. Sacks, a firm holder of Solana, has stated that he did not sell his holdings after the FTX incident and believes Solana could eventually surpass Ethereum.

Trump’s Vision: A Legal Framework for Crypto

In his announcement, Trump emphasized that Sacks’ mission would be to establish a clear legal framework for the U.S. cryptocurrency sector. 

“He will work on a legal framework so the crypto industry has the clarity it has been asking for and can thrive in the U.S.,” Trump stated. 

With the crypto industry often grappling with regulatory uncertainty, Sacks’ appointment suggests a more favorable and predictable environment for the sector, which has faced growing regulatory pressure in recent years.

Trump’s announcement also emphasized that Sacks would work to safeguard free speech online, counteracting what he sees as Big Tech’s biases and censorship. With the rise of AI-driven platforms, including those developed by Musk’s company xAI, Sacks’ role will also involve ensuring that AI innovation continues in a manner that supports both market competition and American leadership.

In addition to his duties as the White House AI and Crypto Czar, Sacks will lead the Presidential Council of Advisors for Science and Technology. 

Sacks' Role and Potential Conflicts of Interest

Despite his high-profile position, Sacks will not be required to divest or disclose his financial holdings. However, as a special government employee, he will be subject to conflict-of-interest rules and will need to recuse himself from any matters that could impact his financial interests. Like Musk, Sacks can serve up to 130 days per year in this capacity, with or without compensation.

The recent update follows Paul Atkins being nominated as President-elect Donald Trump’s choice to lead the U.S. Securities and Exchange Commission (SEC). Shortly after, Bitcoin surged past $100,000 for the first time in history.