Overview

During his nomination hearing on January 16, 2025, Scott Bessent, nominated for Treasury Secretary, briefly addressed cryptocurrency issues but made his stance clear against a U.S. central bank digital currency (CBDC). Bessent, a billionaire hedge fund manager, stated:

"I see no reason for the U.S. to have a central bank digital currency. In my mind, a central bank digital currency is for countries who have no other investment alternatives."

Countries like China have launched or piloted CBDCs out of necessity, which Bessent argued does not apply to the U.S.

Key Points

• The focus of the hearing was primarily on tax policy rather than cryptocurrency.
• Bessent emphasized a need for a modern approach to digital currencies, criticized outdated perspectives, and expressed that crypto represents freedom.
• Despite previous investments in crypto, he divested from a Bitcoin ETF after accepting the nomination, proving his commitment to his stance.

Conclusion

Bessent's comments were received positively by crypto advocates, highlighting a shift towards a future-oriented understanding of the digital currency landscape.