Democrats Pressure U.S. Treasury to Halt Trump’s Bitcoin Reserve Plan

President Donald Trump’s plan to create a national bitcoin reserve has become the subject of controversy as Rep. Gerald Connolly, the top Democrat on the House Committee on Oversight and Government Reform, has called for the U.S. Treasury to cease all actions on the project.

Connolly’s letter to the Treasury expressed concerns about the glaring “conflicts of interest” that could arise from Trump’s involvement in cryptocurrency ventures, including World Liberty Financial, a crypto firm backed by Trump that holds $76 million in digital assets. Connolly also pointed to the memecoins TRUMP and MELANIA launched ahead of Trump’s inauguration as another example of potential self-enrichment.

Trump’s plan, which was revealed in an executive order last week, aims to establish a strategic Bitcoin reserve using cryptocurrencies forfeited in legal proceedings. Connolly’s criticism comes as Trump has made conflicting statements about the assets that would be included, initially naming SOL, XRP, and ADA before confirming that bitcoin would also be part of the reserve. Connolly’s letter has asked the Treasury to outline any steps taken to mitigate conflicts of interest and to provide a briefing on the matter by March 27.