Josh Gruenbaum, head of the General Services Administration, has overseen government contracts with companies backed by Thrive Capital, the venture firm founded by Joshua Kushner. Issue: Gruenbaum is also an investor in Thrive Capital.
SmartPay connection
Gruenbaum was appointed to head FAS in January 2025, but had no previous government experience. FAS oversees the SmartPay program, which processes hundreds of billions of dollars in charge card spending for federal employees.
Ramp, a fintech startup valued at approximately $13 billion, is positioned to modernize that very program. The company counts Thrive Capital among its backers, along with Peter Thiel and Khosla Ventures. Gruenbaum has facilitated at least four meetings with Ramp executives regarding SmartPay.
The system has attracted the attention of Democratic Rep. Gerald Connolly, who announced in May 2025 that he would investigate GSA’s relationship with RAMP. The investigation focuses on whether standard contractual safeguards were circumvented and whether Mr. Gruenbaum’s dual roles as a government official and private investor created conditions for preferential treatment.
Thrive Capital Web
Thrive Capital, led by Jared Kushner’s brother Joshua Kushner, has raised a record $10 billion in funding, focusing on technology-enabled companies and AI.
Why fintech investors should pay attention
Ramp has built a legitimate business. A $13 billion valuation doesn’t come out of thin air. The company’s corporate card and expense management platform attracts real corporate customers and serious venture backers. The SmartPay opportunity, if realized, will transform government contracting.
If Mr. Connolly’s investigation turns up evidence of preferential treatment, or simply generates enough negative headlines, Mr. Rump could face increased scrutiny for any future government involvement.
Venture capital firms with government-adjacent portfolio companies should monitor this closely. The results of the investigation could establish new expectations regarding disclosure, recusal, and conflict management for government appointees with private investment portfolios that overlap with their public responsibilities.
