A Democrat lawmaker has opposed US President Donald Trump’s plan to extend the federal government’s Bitcoin holdings by making a strategic reserve.
Home Rep. Gerald E. Connolly of Virginia urged the US Division of the Treasury to halt the proposed Bitcoin reserve, suggesting that Trump has a battle of curiosity in pushing for it.
Lawmaker: Cease BTC Reserve
Connolly wrote a letter to US Division of Treasury Secretary Scott Bessent urging the Secretary to “stop all makes an attempt” that push for the institution of a strategic Bitcoin reserve, claiming that it’s going to solely enrich Trump and his allies.
“The creation of a strategic cryptocurrency reserve is poised to complement the President and his closest allies on the expense of American taxpayers,” Connolly stated. “I urge you to stop all plans to create a strategic cryptocurrency reserve.”
The Virginia lawmaker criticized the cryptocurrency proposal as a result of solely Trump and his donors will profit from it.
Rep. Connolly urges U.S. Treasury to scrap plans for strategic crypto reserve
Virginia Rep. Gerry Connolly despatched a letter to U.S. Treasury Secretary Scott Bessent on March 13, urging the division to halt plans for establishing a strategic crypto reserve. In response to a press…
— CoinNess World (@CoinnessGL) March 14, 2025
Main Crypto Holders
Connolly stated that Trump, his household, and his closest allies are homeowners of cryptocurrencies, citing that the President’s household owned The Trump Group, which maintains “vital possession in World Liberty Monetary.”
The lawmaker described it as a cryptocurrency enterprise that “aspires to be a form of digital asset financial institution, the place prospects might be inspired to borrow, lend and spend money on digital cash” with even the President claiming World Liberty Monetary as “the way forward for finance.”
He added that the President’s sons, Eric Trump and Donald Trump Jr., have advocated a number of cryptocurrencies, stating the connection between the Trump household and cryptocurrencies.
The Democrat legislator talked about that the American President even launched a brand new meme coin in January referred to as TRUMP, saying, “Entities associated to President Trump have reportedly made as a lot as $100 million in buying and selling charges alone for this enterprise, which has been referred to as his “most profitable get-rich scheme but.”
He famous {that a} crypto strategic reserve has “no discernible profit to the American individuals.”
Unsound Fiscal Coverage?
Connolly argued that the Bitcoin reserve is an “unsound fiscal coverage” as a result of the number of profitable currencies might be performed by social media, including that it’s going to solely waste “taxpayer {dollars} on a plan that one federal reserve official described as ‘the dumbest concept’ ever.”
“America has traditionally, by acts of Congress, created reserves of sure commodities of strategic worth, comparable to petroleum, significantly throughout occasions of financial disaster. Nevertheless, no strategic want has arisen that may necessitate funding within the unstable and speculative cryptocurrency market,” the lawmaker stated.
He described the Bitcoin reserve as “nothing greater than a extremely speculative taxpayer-backed hedge,” saying that if crypto crashes, “the State will deploy this fund to rescue it.”
Featured picture from The Unbiased, chart from TradingView
Editorial Course of for bitcoinist is centered on delivering completely researched, correct, and unbiased content material. We uphold strict sourcing requirements, and every web page undergoes diligent evaluate by our crew of high expertise specialists and seasoned editors. This course of ensures the integrity, relevance, and worth of our content material for our readers.