David Sacks Steps Down as AI Czar to Pursue His Next Move
Sacks will be much further from power center in Washington than since the outset of this second Trump administration.
David Sacks is done as AI czar — here's what he's doing instead
David Sacks, the venture capitalist and former PayPal executive who served as the White House's artificial intelligence and crypto czar during the early months of President Trump's second term, is stepping away from his high-profile advisory role. The departure marks the end of a brief but influential tenure in which Sacks helped shape the administration's approach to emerging technologies, including cryptocurrency regulation and AI policy frameworks. His exit comes as the administration shifts its technology priorities and consolidates oversight under different leadership within the West Wing.
Sources familiar with the transition say Sacks will return full-time to his venture capital firm, Craft Ventures, where he will resume his focus on private-sector technology investments. While he is expected to maintain informal relationships with administration officials, his day-to-day involvement in crafting federal policy will cease entirely. Associates say Sacks had always intended for the role to be temporary and that he feels satisfied with the groundwork laid during his time in Washington, particularly around establishing clearer regulatory guidelines for the cryptocurrency industry.
The move places Sacks much further from the power center in Washington than he has been since the outset of this second Trump administration. During his time as czar, Sacks enjoyed direct access to the Oval Office and played a key role in executive orders related to AI development and digital asset policy. Without a formal government title or daily presence in the West Wing, his ability to influence the direction of federal technology policy will be significantly diminished, even as the debates he helped ignite continue to intensify on Capitol Hill.
Political analysts say the transition reflects a broader pattern in the Trump administration, where prominent figures from Silicon Valley have cycled through advisory positions before returning to the private sector. While Sacks leaves behind a legacy of deregulatory momentum in the tech space, questions remain about whether his policy initiatives will endure without a dedicated champion inside the White House. For now, the tech investor appears content to watch the next chapter of Washington's AI and crypto battles unfold from a comfortable distance in San Francisco.