Treasury Secretary Confirms No U.S. Plan to Support Bitcoin Market

By: Eliza Bennet

The United States Treasury Secretary Scott Bessent certainly set the cat among the pigeons during his recent Congressional testimony. Reaffirming the government’s stance on cryptocurrency, Bessent declared that the U.S. does not have plans to direct private banks to acquire more Bitcoin (BTC) to stabilize the market. During a fraught exchange with California Representative Brad Sherman, a noted cryptocurrency adversary, Bessent elucidated the position of the Treasury Department.

Sherman, consistent with his critical stance on digital assets, questioned whether the U.S. would leverage its financial mechanisms to support Bitcoin in a downturn. Specifically, he asked if the Treasury or the Federal Open Market Committee would ever consider a ‘bailout’ for Bitcoin. Bessent responded emphatically that no such contingency plan exists, underscoring that the Treasury Department has no jurisdiction to enforce cryptocurrency acquisitions by private institutions.

This interaction highlighted concerns surrounding cryptos like Bitcoin. It feeds into a broader narrative about the government’s relatively hands-off approach despite its custodianship of over $15 billion worth of Bitcoin accumulated through asset seizures. Once the subject of an executive order by President Trump in 2025 to form a Bitcoin Strategic Reserve, this initiative has persisted amid various criticisms and misunderstandings about its scope and intentions.

For stakeholders affected by these strategic decisions, Bessent’s testimony reflects the broader philosophy of the U.S. government regarding less interventionist involvement in the cryptocurrency market. As the potential impact of governmental policies on private sector crypto adoption and financial stability remains ambiguous, the Secretary’s recent statements are likely to stoke further discussions among legislators and crypto enthusiasts alike.