Trump threatens legal action against Jerome Powell

Trump threatens legal action against Jerome Powell

Donald Trump is ramping up his criticism of Federal Reserve Chairman Jerome Powell. On his social platform, he mentioned the possibility of major legal action against him, citing the skyrocketing cost of renovations at the Fed’s headquarters, which jumped from $1.9 billion to $2.5 billion. Trump labeled Powell “incompetent” and “too slow,” accusing his interest rate policies of stifling growth.

This controversy adds to a long series of tensions. Despite talks with Republican lawmakers, Trump ruled out the possibility of immediately firing Powell, noting that the law prohibits removing the Fed Chair without just cause. Nevertheless, he views the renovation as a waste of public funds and an example of failed management.

Lawmakers close to Trump even referred a criminal complaint to the Department of Justice, accusing Powell of perjury for allegedly misleading Congress about the true costs. These initiatives reflect a targeted political attack aimed at undermining the Fed’s authority.

On the economic front, this tension seriously weakens the Federal Reserve’s independence, raising concerns about the politicization of monetary policy. Under pressure, Powell is holding firm, stressing that the Fed acts on economic criteria, not political ones.

Trump hopes to sway interest rate policy, which he sees as too restrictive. In the background, a real power struggle is now unfolding between the government and America’s central monetary authority.

Circle unveils a blockchain dedicated to USDC

Circle has revealed Arc, its own layer-1 blockchain designed specifically for stablecoin transactions. Built for payments, forex, and capital markets, Arc positions itself as an EVM-compatible infrastructure combining institutional-grade performance with seamless integration into the Ethereum ecosystem.

Arc’s key innovation? Using USDC as the native token for transaction fees, ensuring stable, volatility-free pricing. The protocol also promises sub-second finality, an integrated exchange engine, and optional privacy features to meet regulatory requirements while preserving anonymity.

Arc’s architecture is optimized for financial environments: up to 3,000 transactions per second with 20 validators, or even 10,000 with just four validators, thanks to an efficient consensus. Its software stack is designed for maximum reliability while remaining open to all developers—a bridge between open source and institutional standards.

The launch will unfold in phases: a private test network in the coming weeks, followed by a public testnet this fall, and a beta mainnet expected in 2026. This gradual rollout reflects a cautious approach to ensure a controlled transition to large-scale use.

The announcement comes as Circle reports strong performance: Q2 revenues rose 53% despite a net loss tied to its IPO. USDC circulation now exceeds $61 billion, signaling ever-growing adoption.

Arc represents a major strategic step for Circle. By creating a stablecoin-native network, the company is reinforcing its role as a catalyst for digital finance, making USDC easier to use for institutional, regulated, and global applications.

U.S. treasury explores ways to expand its bitcoin reserve

The U.S. government currently holds between $15 and $20 billion in Bitcoin, acquired through judicial seizures, forming a “strategic reserve” established by presidential order. No direct purchases are planned for now, but the idea is gaining traction.

Treasury Secretary Scott Bessent clarified that any future acquisitions would need to be “budget neutral,” meaning no additional cost to taxpayers. The use of other government assets, or even selling some assets, is being considered as a potential mechanism.

This strategy is part of a bold political vision: making the United States the “global Bitcoin superpower.” But it faces legal hurdles: only Congress can authorize substantial acquisitions, complicating presidential ambitions carried out solely by executive order.

In the absence of explicit funding, the Treasury is studying indirect mechanisms, such as asset swaps or internal budget reallocations. But nothing concrete has been executed yet, limiting the immediate impact on the Bitcoin market.

This stance triggered a sharp correction in Bitcoin’s price, which fell within hours from an all-time high to below $119,000, dragging down crypto markets through massive liquidations.

The evolution of this policy remains to be seen: if the Treasury does find a way to strengthen its reserve without tapping new funds, it could send a lasting signal of institutional Bitcoin adoption. For now, however, everything remains hypothetical.