Scott Bessent: The Billionaire Who Might Just Save Crypto (or Not)

  • Ripple CEO and other crypto leaders are practically throwing confetti over Scott Bessent’s new gig as Treasury Secretary.
  • Key appointments highlight the Trump administration’s commitment to advancing the digital-assets sector, or at least their commitment to making headlines.

In a move that has left many scratching their heads and others reaching for their wallets, the U.S. Senate has confirmed Scott Bessent as the 79th Treasury Secretary. Yes, you heard that right—79th! It’s like a never-ending game of musical chairs, but with more money and fewer dance moves.

Bessent, known for his pro-crypto stance, is stepping into the role with the grace of a cat on a hot tin roof. His appointment signals a more progressive approach toward digital assets under the Trump administration, which is like saying a tornado is a more progressive approach to landscaping.

The confirmation was secured with a decisive 68-29 vote, which sounds impressive until you remember that it’s Congress we’re talking about. Senator Mike Crapo, who apparently has a flair for dramatic titles, described Bessent as,

“One of the sharpest minds in global finance.”

Taking over from Janet Yellen, who probably just wants to retire to a quiet life of knitting, Bessent is expected to play a pivotal role in shaping fiscal policy. He’ll oversee the $28 trillion Treasury debt market, which is a bit like being handed the keys to a Ferrari and being told to drive it through a crowded mall.

Crypto community’s reaction to this news

The crypto community is buzzing like a caffeinated squirrel. Ripple CEO Brad Garlinghouse took to X to express his excitement, likely while clutching a bottle of champagne.

Senate majority leader John Thune chimed in, saying,

“Scott Bessent brings a wealth of private-sector experience in the economy and markets to his new role, as well as a concern for the needs of working Americans.”

Translation: “He’s rich, and we’re hoping he’ll sprinkle some of that wealth our way.”

But not everyone is on the Bessent bandwagon. Senator Elizabeth Warren, who seems to have a permanent frown, declared,

“I just voted NO on Scott Bessent’s Treasury Secretary nomination.”

She elaborated, saying,

“A billionaire willing to roll along deregulation poses a threat to the economic well-being of every American, and a billionaire who supports more tax cuts for every single billionaire in America is not someone who is watching out for hard-working families.”

In other words, she’s not exactly sending him a fruit basket.

Is this good news for the crypto industry?

The 62-year-old lawmaker from Tennessee, now the Treasury Secretary, has been a staunch advocate of Trump’s economic policies, which is like being a fan of a band that only plays one song on repeat. He’s championed initiatives like the renewal of $4 trillion in expiring tax cuts, which sounds great until you realize it’s just a fancy way of saying, “Let’s keep the rich richer.”

During his confirmation hearing, Bessent emphasized his concern over federal spending, stating it was “out of control.” This is rich coming from a billionaire, but hey, who am I to judge?

He’s also a vocal critic of central bank digital currencies (CBDCs), aligning with President Trump in opposing their adoption. During a Senate Finance Committee hearing, he argued that CBDCs are primarily pursued by nations with limited investment options, which is a polite way of saying, “They’re desperate.” He said,

“I see no reason for the US to have a central bank digital currency.”

Way forward

The Trump administration has made its stance clear with key appointments like former PayPal COO David Sacks as the “White House A.I. & Crypto Czar” and Paul Atkins as the prospective U.S. Securities and Exchange Commission (SEC) Chair. It’s like a reality show, but with more money and fewer plot twists.

While it remains to be seen how the crypto sector will evolve under Trump’s leadership, these strategic moves signal a promising trajectory for the digital asset industry in the U.S. Or at least, that’s what they want us to believe while they count their coins.

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2025-01-28 15:10