U.S. Treasury: US Government Cannot Deploy Taxpayer Funds to ‘Bail Out’ Bitcoin

During testimony before the House Financial Services Committee, Treasury Secretary Scott Bessent firmly rejected the premise that the U.S. government could ever use taxpayer funds or regulatory power to 'bail out' Bitcoin, contrasting this with historical bailouts of powerful institutions.

Bessent clarified that he, nor the Treasury or the Economic Stability Oversight Council, has the authority to direct banks to buy BTC or allocate public funds into crypto assets. The government's only current exposure to Bitcoin comes from assets seized through law enforcement actions, not investment decisions.

Bessent also noted that retained seized Bitcoin has appreciated significantly, citing an example where $500 million in seized BTC grew to over $15 billion. Furthermore, he confirmed the U.S. will stop selling seized BTC and instead add it to the Strategic Bitcoin Reserve, in line with Executive Order 14233.

(Source：Bitcoin Magazine)