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Kwasi Kwarteng, former UK Chancellor who served only a few weeks in September 2022, is now reappearing with a new focus on bitcoin, monetary history, and long-term economic thinking.

Reflecting on the controversial mini-budget in an interview with CoinDesk, he spoke candidly about the mistakes that were made. "The mini-budget was really only two weeks after we took office, everything was very, very rushed," he said, referring to the period right after taking office on 6 September, which was followed by the death of Queen Elizabeth II two days later. That extremely tight schedule left little room for coordination or oversight. The impact was severe, causing UK government bond yields (gilt) to spike sharply and helping to expose the UK pension fund crisis, Liability-Driven Investment.

Kwarteng continues to defend the intention behind the policy, warning that the UK is now trapped in a "fiscal vicious cycle" in which "you spend more money than you can raise from taxes," and that tax increases will ultimately "snuff out incentives in the economy."

He also criticized the short-term mindset that dominates both politics and markets. "Everything is driven by quarterly results; people sometimes feel euphoria or panic. But you have to take a longer-term view."

It is that long-term perspective that is now shaping his thinking about bitcoin and money more broadly. While in office, he said, "The Treasury and the Bank of England, of course, know about bitcoin and digital assets, but their numbers are still very small," highlighting what he sees as the UK’s reluctance to embrace innovation.

He also points to a cultural gap with Europe, noting that Paris is becoming increasingly "progressive in digital assets."
Kwarteng also brushed aside criticism from Boris Johnson, after the former prime minister called Bitcoin a "Ponzi scheme," arguing for a more open view of the emerging forms of money.

New bitcoin treasury initiative
Now serving as CEO for the UK bitcoin treasury company Stack $BTC (STAK), Kwarteng is turning these ideas into real-world practice, with the company holding 31 $BTC in its treasury.

The company has drawn increasing political attention, with Reform UK leader Nigel Farage taking a 6% stake in the firm.

For Kwarteng, this shift reflects a move away from reactive policymaking toward what he sees as a more resilient monetary future based on long-term thinking.$BTC ‌