The Genius Act
What has President Trump said this week?
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What has President Trump said this week? 〰️
1. The Fed Feud
President Donald Trump has renewed criticism of Federal Reserve Chair Jerome Powell, citing a $2.5 billion renovation plan for the Fed’s Washington headquarters as a potential basis for dismissal. During recent interviews and Oval Office meetings with Republican lawmakers, Trump floated the idea of firing Powell, even showcasing a draft termination letter and soliciting opinions from allies (The New York Times, 2025; CNBC, 2025).
Trump expressed frustration over what he described as an unnecessary expansion of the Federal Reserve’s HQ, criticizing Chair Jerome Powell for approving costly renovations, including features like Italian beehives and marble finishes (CCN, 2025). While Powell has denied misleading Congress, Trump suggested that the renovation project, which has swelled from $1.9 billion to $2.5 billion due to asbestos and water table issues, constitutes a “fireable offense” (CCN, 2025).
Legally, the President cannot dismiss a Fed chair without cause, a protection reinforced by a 2025 Supreme Court ruling. Trump’s continued focus on Powell, who has maintained the Fed’s interest rate policy despite political pressure, has prompted discussions about the central bank’s independence. JPMorgan CEO Jamie Dimon warned that undermining the Fed could lead to serious economic consequences, stressing that“playing around with the Fed can often have adverse consequences” (CCN, 2025). Although Powell’s term ends in May 2026, he could remain on the Board of Governors through 2028.
Trump’s aides are divided on whether his remarks reflect political messaging or signal potential action, but the statements have added uncertainty to U.S. monetary policy discussions.
2. Crypto Week Back on Track
“Crypto Week” in the House nearly collapsed Tuesday after a surprise procedural defeat blocked three key crypto bills from advancing. Thirteen conservative Republicans joined Democrats in voting down the motion, derailing a legislative package that included the GENIUS Act (stablecoin regulation), the CLARITY Act (defining digital asset oversight by the SEC and CFTC), and a bill banning a central bank digital currency (CBDC) (ABC, 2025; Reuters, 2025).
In response, Trump convened a late-night Oval Office meeting with 11 of the 12 holdout Republicans. He announced that, after a “short discussion,” they had agreed to proceed with the vote the next morning (ABC, 2025; Bloomberg, 2025). Markets reacted swiftly: Bitcoin rose 2.1% to $118,909, and stocks like Coinbase and Circle rebounded in premarket trading (Bloomberg, 2025; Reuters, 2025). Still, tensions remain over how the bills are packaged. Some Republicans want to merge the bills into one, forcing them back to the Senate, while Trump and leadership insist on separate votes to fast-track the GENIUS Act to his desk (ABC, 2025).
Beyond legislative debates, the bills have drawn attention over potential conflicts of interest. Trump and his family have ties to World Liberty Financial, a crypto firm that could benefit from the GENIUS Act (ABC, 2025; CNBC, 2025). While the Senate bill restricts lawmakers and their families from profiting off stablecoins, it does not apply to the president (ABC, 2025). Meanwhile, crypto supporters are closely monitoring developments. Coinbase’s policy head called the vote delay “a step back,” and super PAC Fairshake, which spent heavily in 2024, has $140 million reserved for 2026 races (ABC, 2025). If passed, the legislation would mark a significant step toward legitimizing digital assets, while also drawing attention to Trump’s personal involvement in the sector.
3. Trade Policy Meets Consumer Prices
President Trump has confirmed that new tariffs will take effect on August 1, 2025, stating there will be “no extensions”. So far, only three out of 300 announced agreements have been finalized. Meanwhile, signs of inflationary pressure are emerging: consumer prices rose 0.3% in June, bringing annual inflation to 2.7%, the highest since February (CNN, 2025). Analysts attribute part of the rise to tariffs, with notable price increases in appliances, electronics, toys, and tools as companies begin passing on higher import costs (CNN, 2025).
Recent measures include a proposed 200% tariff on pharmaceuticals, levies on semiconductors, and 30–50% duties on goods from Canada, Mexico, and the EU (The Guardian, 2025). These build on earlier tariffs covering steel, aluminum, and consumer products. While the administration frames the policy as “reciprocal,” economists warn of rising costs for U.S. businesses and households. Brands like Hasbro and Samsung report growing supply chain pressures (CNN, 2025).
Some companies had stockpiled goods in advance, softening short-term impacts, but those inventories are now being drawn down. In Brazil, a 50% tariff was announced following a U.S. investigation into trade practices, while Indonesia secured a reduced 19% tariff after finalizing a bilateral deal that included Boeing purchases (The New York Times, 2025).
Although customs revenue has surged, $64 billion collected from April to June, up $47 billion from the previous year (The Guardian, 2025), concerns remain. Core inflation is still modest, but economists caution that goods-driven price increases could intensify. With market volatility ongoing and interest rate policy uncertain, the broader impact of Trump’s tariff strategy on consumers and global trade is still unfolding.