Scott Bessent Drops Bombshell Crypto Bill Support—Wall Street Braces for Political Firestorm

Hedge fund heavyweight Scott Bessent just threw gasoline on Washington’s crypto debate—backing a landmark bill that could rewrite the rules for digital assets. The move sends institutional investors scrambling as regulators sharpen their knives.

Why it matters: When a Soros alum bets against the status quo, even lobbyists check their Bloomberg terminals twice. The bill’s fine print reportedly includes provisions that’d let crypto bypass SEC roadblocks—a direct challenge to Gary Gensler’s fiefdom.

The kicker? Bessent’s endorsement comes hours after JPMorgan quietly increased its Bitcoin ETF holdings. Nothing like watching Wall Street play both sides while retail traders foot the bill.

Bessent Shares His Take On Crypto Policy

During the hearing titled “The Annual Testimony of the Secretary of the Treasury on the State of the International Financial System,” Bessent doubled down on his conviction that U.S. lawmakers should develop “good market structure” so the country’s “best practices are used around the world.”

We believe the United States should be the premier destination for digital assets.

Digital assets are an important source of innovation that can drive usage of the U.S. dollar around the world with stablecoin legislation. pic.twitter.com/ZqWVMrjYaD

“We believe the United States should be the premier destination for digital assets,” he said. “Digital assets are an important source of innovation that can drive usage of the U.S. dollar around the world with stablecoin legislation.”

Crypto-friendly comments from Scott Bessent come amid a turbulent week regarding the establishment of a regulatory framework for the digital asset industry.

On Monday, several key House Republicans, including House Financial Services Committee Chair Representative French Hill, unveiled the discussion draft of their Digital Asset Market Structure Bill, seeking to enact comprehensive federal crypto regulation.

“Our discussion draft builds upon that work and provides much-needed regulatory clarity for the digital asset ecosystem by protecting consumers and safeguarding the long-term integrity of digital asset markets in the United States,” Hill said in a May 5 statement.

Crypto Causes Partisan Clash In Congress

A House Financial Services Committee hearing titled “American Innovation and the Future of Digital Assets: A Blueprint for the 21st Century” was then held on Tuesday, though a handful of House Democrats, spearheaded by ranking member Maxine Waters, stormed out in protest of U.S. President Donald Trump’s crypto ventures.

“I object to this joint hearing because of the corruption of the President of the United States and his ownership of crypto and his oversight of all the agencies,” Waters said.

Whether emerging crypto legislation will advance or be halted by political gridlock is still unclear.