Scott Bessent, Pro-Crypto Hedge Fund Titan, Wins Senate Approval as Treasury Secretary
Key Takeaways
- Scott Bessent has won Senate approval to become the 79th Treasury Secretary.
- Bessent won 68-29, with 16 Democrats supporting the nomination.
- Known for his pro-crypto stance, Bessent has praised Trump’s crypto-forward policy focus.
Billionaire hedge fund titan Scott Bessent, President-elect Donald Trump’s top pick for Treasury Secretary, won Senate approval on Jan. 27.
A seasoned investor with a strong pro-crypto stance, Bessent’s appointment aligns with Trump’s vision of transforming the United States into a global hub for cryptocurrency.
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Bessent Wins 68-29 To Lead Treasury Secretary
The Wall Street veteran secured Senate approval for his appointment as Treasury Secretary with a 68-29 vote, garnering support from all Republicans and 16 Democrats.
As the 79th Treasury Secretary, Bessent will face a range of challenges, including navigating tariff policies and overseeing potential tax reforms.
He has expressed support for gradual tariff increases, which could become a focal point early in his tenure.
President-elect Trump has already signaled plans to impose tariffs on goods from China, Canada, and Mexico, in addition to a 25% tariff on Colombian products.
Beyond traditional financial hurdles, Bessent is expected to play a pivotal role in shaping U.S. policy on cryptocurrency, particularly in areas such as crypto taxation.
There have been multiple reports suggesting that the Trump administration plans to ease the tax burden on crypto traders and holders, marking a potential shift in how digital assets are treated under U.S. law.
Bessent To Exit $577M Hedge Fund
Once elected Treasury chief, Bessent has pledged to divest all his current investments and dissolve Key Square Group, his $577 million hedge fund, to avoid any potential conflict of interest.
Bessent also agreed to resign as chairman of Rockefeller University’s investment committee and dissolve Key Square Group by the end of March.
In addition, he intends to stop working with his family charity and sell most of his holdings assets, such as shares in the drug research firm Cambrian Biopharma, Bitcoin ETFs, and long-term currency wagers.
From Soros to Trump’s Inner Circle
Bessent’s Wall Street acumen and extensive experience have made him one of Trump’s most trusted financial allies.
According to Reuters , Bessent recently met with Trump, fueling speculation about his potential appointment.
Although he hasn’t commented publicly on a government position, his sources suggest that a key role has been discussed.
Crypto-based prediction platforms like Polymarket place Bessent as the frontrunner for Treasury Secretary, ahead of billionaire John Paulson.
The Treasury Secretary wields immense influence over U.S. financial policy, overseeing national debt, shaping tax policy, and managing domestic and international economic recommendations.
A pro-crypto Treasury leader could have transformative implications for the industry, especially as crypto advocates call for clearer regulatory pathways.
From Yellen to Bessent: Potential for a Paradigm Shift
Trump’s presidential bid received notable support from crypto-friendly voters, many of whom were drawn by his promises to undo what they view as restrictive Biden-era policies.
Current Treasury Secretary Janet Yellen has been vocal about the risks of cryptocurrency, describing Bitcoin as inefficient and advocating for stricter oversight.
The crypto sector has often viewed Yellen’s tenure as stifling, contributing to challenges like “Operation Chokepoint 2.0,” where crypto firms faced roadblocks in accessing banking partnerships.
Under Trump’s incoming administration, a new Treasury Secretary with a more open stance on crypto could pave the way for substantial regulatory change.
Trump has pledged to remove what he calls “barriers” to crypto innovation, signaling a shift that could see U.S. policy embrace rather than resist the growing digital asset economy.
What Bessent Could Bring To the Role
As Treasury chief, Bessent will serve as the President’s chief economic advisor, shaping policy on issues from taxation to financial regulation.
His influence on Congress could help foster a legislative environment that is more welcoming to crypto, including clearer guidelines for digital assets and a framework for stablecoin regulation.
Bessent’s nomination and Senate approval as Treasury Secretary reflects a broader trend toward more crypto-friendly leadership in the U.S.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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