U.S. Democratic Representative Gerald Connolly has taken a strong stance against the establishment of a strategic cryptocurrency reserve, urging the Treasury Department to cease all related activities. Connolly's concerns stem from the actions of former President Donald Trump, who advanced this reserve plan without proper consultation with Congress or seeking the necessary authorization.
In a letter addressed to the Treasury this past Thursday, Connolly expressed his apprehensions regarding the potential ramifications of this initiative on American taxpayers, asserting that it could primarily benefit Trump and his associates. The Representative called for an immediate halt to all plans related to the cryptocurrency reserve.
He also demanded a comprehensive account of the security measures and safeguards that the Trump administration purportedly implemented to mitigate conflicts of interest, setting a deadline of March 27 for a response. Connolly highlighted that Trump's connections to various cryptocurrency projects raise significant red flags regarding ethics and governance.
One of the projects mentioned is the decentralized finance (DeFi) initiative called World Liberty Financial (WLFI), which Trump publicly supported in the previous year. As of now, the Treasury has yet to issue any response to these serious allegations..