BlockBeats news, on February 19, Senator Elizabeth Warren, senior member of the Senate Banking Committee, sent a letter to Treasury Secretary Scott Bessent and Federal Reserve Chair Jerome Powell, urging the government not to use taxpayer funds to bail out the cryptocurrency industry.
In his letter, Warren warned that any form of bailout would mean "transferring wealth from American taxpayers to cryptocurrency billionaires," is not only "highly unpopular," but could also directly benefit President Trump and his family’s cryptocurrency project, World Liberty Financial.
At the time this letter was sent, Bitcoin's price had fallen more than 50% from its all-time high and touched a local low of $60,000. On the same day, World Liberty Financial hosted its inaugural World Liberty Forum at Mar-a-Lago, inviting senior executives from the crypto industry and policymakers supportive of cryptocurrency.
Warren also cited the Financial Stability Oversight Committee hearing on the 4th of this month, pointing out that Treasury Secretary Bessent "avoided addressing the core concerns" when responding to questions about bailing out Bitcoin. She emphasized that the government should not intervene in the Bitcoin market through direct purchases, guarantees, or liquidity tools, as this could "make cryptocurrency billionaires the biggest beneficiaries of a bailout."