U.S. Senate Committee on Banking, Housing and Urban Affairs Democrats press Commerce Department official on delayed divestment from Nova Digital Opportunities Fund

Senators Elizabeth Warren and Andy Kim, the ranking Democrats on the U.S. Senate Committee on Banking, Housing and Urban Affairs and the Subcommittee on National Security and International Trade and Finance, sent a letter to David L. Fogel, Assistant Secretary of Commerce for International Trade, questioning his continued financial interest in Nova Digital Opportunities Fund, L.P. and his failure to divest on the timeline set out in his ethics agreement. The lawmakers requested information on his investment, divestment plans, and interim steps to mitigate conflicts of interest. The letter points to an amendment to Fogel’s ethics agreement that permits him to retain his interest in Nova beyond the original divestment deadline, despite his role as Assistant Secretary and Director General of the U.S. and Foreign Commercial Service Global Markets. It notes that Nova manages liquid token investments under Brevan Howard and highlights a waiver request submitted to the Office of Government Ethics on January 12, 2026 to extend divestment from February 4, 2026 to April 1, 2026, alongside reports of a refund clause for investors in Berachain, a blockchain project valued at USD 1.5 billion, that can be exercised through February 6, 2026. The senators asked for written responses by February 4, 2026, including details of Nova’s fund administrators and policies, the justification for the delayed divestment, and whether Fogel has recused himself from matters affecting Nova or similar digital asset hedge funds.