ALT5 Sigma, a firm linked to the Donald Trump family, faces a crisis after revealing its new auditor lacks an active license. According to Financial Times reports, the regulatory situation of ALT5 Sigma worsens after failing critical financial reporting deadlines. Therefore, accounting transparency has become an urgent priority to avoid severe sanctions from the United States stock market this year.
The company appointed the firm Victor Mokuolu CPA PLLC to resolve its third-quarter accounting delays. However, official records indicate that this auditor’s state permit expired last August. Therefore, the firm cannot issue valid financial statements currently before the regulatory control bodies. Furthermore, the Texas regulator maintains the corporate license suspended for the professional in charge of these mandatory accounting supervision tasks.
This controversy arises at a delicate moment for the organization, which has moved through various business models recently. Additionally, the backing of World Liberty Financial directly links this project with the former US president’s political environment. The company has moved from recycling to cryptocurrencies seeking a space in the modern financial ecosystem. However, constant strategic changes generate reasonable doubts regarding the internal governance of this entity currently listed on Nasdaq.
The complex administrative landscape threatening the stability of the financial firm
The consequences of these administrative failures are directly reflected in the performance of the company’s shares. In this way, the stocks have suffered a precipitous fall of over 77% during the year 2025. Consequently, investors show growing distrust in the face of lack of transparency in mandatory financial reports. Likewise, the possible delisting from the Nasdaq market represents an imminent risk for all shareholders in the technology sector today.
On the other hand, the resignation of key members of the board of directors has left important legal gaps. David Danziger’s departure caused a failure to meet the minimum requirements for internal audit committees. As a result, the hierarchical structure lacks the accounting expertise necessary to reverse this negative trend very soon. Moreover, Eric Trump’s limited participation as an observer has failed to calm the concerns of financial regulators during this quarter.
Can the company overcome its compliance deficiencies before the final shutdown?
Despite the obstacles, management ensures that the auditor is undergoing a mandatory review process. This procedure is expected to conclude in January, allowing the reactivation of the license necessary for legal operations. Therefore, the immediate future depends on the technical capacity of its new external accounting advisors. Additionally, the resolution of legal conflicts of former executives will be decisive in regaining the trust of the global cryptocurrencies sector.
Finally, the coming months will be decisive in determining the operational viability of this Trump-linked technological bet. The company must present its financial balances urgently to avoid further sanctions or commercial closure. For this reason, the market cautiously observes every administrative move made by the ALT5 Sigma management currently. Similarly, transparency in communications will be the fundamental pillar to ensure the survival of the organization in 2026.
