{"id":125038,"date":"2025-03-14T03:19:07","date_gmt":"2025-03-14T03:19:07","guid":{"rendered":"http:\/\/cryptospotters.net\/?p=125038"},"modified":"2025-03-14T03:19:07","modified_gmt":"2025-03-14T03:19:07","slug":"democrat-lawmaker-urges-treasury-to-cease-trumps-bitcoin-reserve-plans","status":"publish","type":"post","link":"http:\/\/cryptospotters.net\/?p=125038","title":{"rendered":"Democrat lawmaker urges Treasury to cease Trump\u2019s Bitcoin reserve plans"},"content":{"rendered":"

Source: Cointelegraph.com NewsA Democrat lawmaker has called on the US Treasury to \u201ccease all attempts\u201d to create a strategic crypto reserve in the United States, citing conflicts of interest with US President Donald Trump and arguing that a stockpile would not benefit the American people.
\nHouse Representative Gerald E. Connolly of Michigan criticized the \u201ccryptocurrency reserve\u201d in a March 13 letter to Treasury Secretary Scott Bessent, stating that it provides \u201cno discernible benefit to the American people\u201d and would instead significantly enrich the president and his donors.
\nConnolly, who didn\u2019t discern between the Strategic Bitcoin Reserve and the Digital Asset Stockpile, said Trump\u2019s plans would constitute \u201cunsound fiscal policy\u201d because it chooses certain cryptocurrencies over others via social media.
\nConnolly said the Trump administration\u2019s plan would also waste taxpayer dollars on what the Federal Reserve described as \u201cthe dumbest idea ever.\u201d
\n\u201cNo strategic need has arisen that would necessitate investment in the volatile and speculative cryptocurrency market,\u201d Connolly, the ranking Democrat on the House committee on oversight and government reform, said in the letter.\u00a0
\n\u201c[It] would constitute nothing more than a highly speculative taxpayer-backed hedge to provide bitcoin speculators the assurance that when the crash comes, the State will deploy this fund to rescue it.\u201d
\nDemocrat Gerald E Connolly\u2019s letter to Treasury Secretary Scott Bessent. Source: US Committee on Oversight and Government Reform DemocratsHowever, the White House has said that the Digital Asset Stockpile will only hold onto cryptocurrency already forfeited. At the same time, the Bitcoin (BTC) reserve will only make acquisitions through budget-neutral strategies that won\u2019t impact taxpayers.
\nConnolly also said that Trump failed to consult with Congress over the Bitcoin reserve plan, let alone obtain congressional authorization to create it.
\nConnolly also alleged there were conflicts of interest between Trump\u2019s presidential duties and the Trump Organization\u2019s ownership of the crypto platform World Liberty Financial, in addition to the Official Trump (TRUMP) memecoin.
\nThe Democrat referred to the TRUMP token as a \u201cmoney grab\u201d that has allowed Trump-linked entities to cash in on over $100 million worth of trading fees.\u00a0
\nThis has been called Trump\u2019s \u201cmost lucrative get-rich scheme yet,\u201d Connolly added.
\nRelated: Bitcoin reserve may end up a \u2018potent political weapon\u2019 \u2014 Arthur Hayes
\nRepresentative Maxine Waters, a Democrat on the House Financial Services Committee, also criticized Trump\u2019s memecoin on Jan. 20, referring to a rug pull while claiming the launch represented the \u201cworst of crypto.\u201d
\nConnolly has asked Bessent to provide documents and communications related to the creation of a Bitcoin reserve and a complete list of steps the Trump administration has taken to avoid a conflict of interest.
\nConnolly also asked for a list of companies in which the Treasury has crypto-related financial interests. He also asked:
\n\u201cHas the Presidential Working Group on Digital Asset Markets on which you serve, which has been tasked with developing a federal regulatory framework to govern the cryptocurrency reserve, reviewed financial disclosures by the Administration officials, including but not limited to Elon Musk?\u201d
\nThe Strategic Bitcoin Reserve will initially use cryptocurrency forfeited in federal criminal or civil cases. Meanwhile, the Digital Asset Stockpile will consist of cryptocurrencies other than Bitcoin, which could include XRP (XRP), Solana (SOL), Cardano (ADA) and Ether (ETH).\u00a0
\nMagazine: Crypto fans are obsessed with longevity and biohacking: Here\u2019s whyRead More<\/a><\/p>","protected":false},"excerpt":{"rendered":"

Source: Cointelegraph.com NewsA Democrat lawmaker has called on the US Treasury to \u201ccease all attempts\u201d to create a strategic crypto reserve in the United States, citing conflicts of interest with… <\/p>\n","protected":false},"author":0,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[5],"tags":[],"_links":{"self":[{"href":"http:\/\/cryptospotters.net\/index.php?rest_route=\/wp\/v2\/posts\/125038"}],"collection":[{"href":"http:\/\/cryptospotters.net\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/cryptospotters.net\/index.php?rest_route=\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"http:\/\/cryptospotters.net\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=125038"}],"version-history":[{"count":0,"href":"http:\/\/cryptospotters.net\/index.php?rest_route=\/wp\/v2\/posts\/125038\/revisions"}],"wp:attachment":[{"href":"http:\/\/cryptospotters.net\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=125038"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/cryptospotters.net\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=125038"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/cryptospotters.net\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=125038"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}