Democrat Rep. Gerald E. Connolly has called for the US Treasury to intervene in a political conflict over the Trump administration’s efforts to create US crypto preparations.
He sent a letter I urge Scott Bessent to stop all attempts to create cryptographic protected areas.
🇺🇸 Democrats oppose strategic reserves: Calls to stop Trump’s plans
Democrat leader Gerald Connolly has formally called for the US Treasury to suspend President Donald Trump’s plans to create strategic preparations for Bitcoin and other cryptocurrencies. …pic.twitter.com/inwc0ena9e
– ATLAS21 (@atlas21_news) March 14, 2025
In his letter, ranking members say the president has never spoken to Congress about setting up such a crypto sanctuary. He also added that the president has not planned to seek permission from Congress to build strategic preparations.
Connolly wrote, “It would also constitute an unsound fiscal policy by selecting currency winners via social media and wasting taxpayer dollars in plans that one Federal Reserve official described as “an unprecedented idea.”
Conflict of Interest – Rep. Gerald E. Connolly
The letter comes after President Trump’s orders regarding the establishment of strategic Bitcoin reserves and US digital asset reserves. A few days after he took office, he signed an order to “strengthen America’s leadership in digital financial technology.” The order included plans to create a cryptographic sanctuary with Bitcoin, Ethereum, XRP, Solana and Cardano.
He wrote, “I am writing about President Trump’s recent executive order on the creation of strategic preparations for strategic preparations for cryptocurrency, the asset class that Trump first obsessed as “fraud.” Such a reserve will not provide identifiable benefits to Americans, but will enrich the president and his donors significantly. ”
Connolly has serious questions about Trump’s financial plans. why? He connects to both the official Trump (Trump) Memecoin and World Liberty Financial, a cryptographic platform run by the Trump organization.
According to Connolly, Trump owns most of the Crypto Company World Liberty Financial, and can earn a lot of profit when it increases in value. The company aims to become a kind of digital asset bank. Here, customers are encouraged to borrow, lend and invest in digital coins.
Trump’s $Trump Memecoin made money for him. Additionally, it is said that people with connections with President Trump have made up to $100 million from trading fees alone from the business.
Connolly has made it clear that all communications and documents related to setting up a Bitcoin Reserve should be made public. Along with a list of companies that the Ministry of Finance has economic ties with regard to crypto. He sought a full explanation of the measures taken to avoid conflicts of interest.
Connolly also asked whether the Presidential Working Group on the Digital Asset Market, a member of which Bessent is, has looked into the financial disclosures of key management personnel, such as technology billionaire Elon Musk.
Will SBR continue in Trump’s administration in the past?
If cryptographic protected areas are seen as a new way to back up the dollar, it will strain the dollar and the Treasury market very much. The government basically sends a message that it doesn’t trust the dollar system as it is now, and there is a need for major changes.
Markets may begin to wonder if the US is thinking that they will not pay their debts. Investors need to trust more in the government’s ability to meet debt when pursuing policies that drive growth and lower deficits. It is dangerous for the government to not mess with the entire structure of the dollar system.
Trump’s opponents view crypto sanctuaries as fraud and make the rest of Trump’s crypto-friendly policies and rules appear selfish rather than letting them stand on their own as regulatory policies.
Future administrations may decide to throw away all the benefits the US has made with crypto and start over again. This reserve will facilitate future attempts to retreat from a moral perspective.
