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US Official Reacts to Trump's Bitcoin Decision: No Congressional Approval, Stop Immediately! - Coin Newsletter
U.S. President Donald Trump's attempt to create a national Bitcoin (BTC) reserve has been met with a fierce backlash from Gerald Connolly.**
Gerald Connolly, the most senior Democratic member of the U.S. House of Representatives Oversight and the U.S. Committee on Government Reform, has sent an official letter to the U.S. Treasury Department calling for a halt to the Trump administration's plans to create a strategic cryptocurrency reserve. Connolly stressed that Trump took this step without consulting Congress and without any legal authorization, which created serious conflicts of interest.
Connolly pointed out that the strategic cryptocurrency reserve to be created risks enriching Trump and his inner circle. Stating that it is unacceptable to take such a critical step without the approval of Congress, Connolly also requested that the Treasury Department provide detailed information to Congress.
On the other hand, Trump's executive order signed last week mentions a separate initiative that includes the stockpiling of various digital assets in addition to the strategic Bitcoin reserve**. There are significant differences between this reserve and stockpiling.
The reserve will be created with Bitcoins confiscated by the U.S. Treasury Department, while the stockpiling will cover altcoins other than Bitcoin and no new purchases will be made. However, Trump's announcement of a wide-ranging reserve, including altcoins such as SOL, XRP and ADA, on social media prior to the executive order sparked public confusion.
Another issue that Connolly drew attention to was the cryptocurrency startups and meme coin projects that Trump supports. It is known that the value of the Trump-backed crypto project called World Liberty Financial has declined from around $380 million at its peak to $76 million at the moment. Connolly also touched on the memecoin projects TRUMP and MELANIA that Trump launched just before his inauguration, stating that they could cause conflicts of interest.
Connolly asked that the Treasury Department explain by March 27 what measures it is taking to prevent conflicts of interest. The Treasury Department has not yet commented on the matter.