Powell’s Peril: Lummis’ Savage Slam on Fed Fiasco! 😈

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Oh, darling Sen. Cynthia Lummis, that tireless advocate for Bitcoin‘s digital daydreams, has decided to skewer Federal Reserve Chairman Jerome Powell over his alleged mishandling of Operation Chokepoint 2.0. And she’s cheekily backing Rep. Anna Paulina Luna’s perjury charges—could this be yet another twist in Donald Trump’s endless grudge match with the man? How utterly amusing! 😂

“I’m terribly concerned about how he mucked up Chokepoint 2.0, strong-arming banks into bankruptcy and playing judge on what industries deserve funding—like oil, gas, and coal, which apparently don’t pass muster with the Fed’s finicky tastes. It’s all rather beastly, the way bank oversight has been bungled under Powell.” 😠

Lummis confided to Varney:

“I am concerned about the way he handled Chokepoint 2.0, the way that they went after banks that were solvent and drove them into insolvency, the way that the Fed has dealt with using subjective determinations about what banks should be financing, oil, gas, coal, energy, that certain aspects of our economy doesn’t approve of. These are the bigger concerns I have about Jay Powell and the manner in which bank supervision has been conducted.”

Jay Powell’s slippery semantics can’t disguise the fact that the Fed’s erecting a lavish new lair, and his bungling of Chokepoint 2.0 has unfairly hammered the crypto crowd.

Time for Powell to pack his bags.

— Senator Cynthia Lummis (@SenLummis) July 22, 2025

Then, with a wink and a nod, Lummis jumped on Rep. Anna Paulina Luna’s bandwagon, who dragged Powell before the Department of Justice for supposedly fibbing about the Fed’s extravagant HQ renovation costs. Luna’s miffed about a 39% overrun, tallying up to a whopping $700 million. Lummis sniped that Powell was dodging with weasel words during his congressional chat, though she admitted proving perjury is trickier than a bad cocktail party—especially since he wasn’t even under oath. How convenient! 😂

I am criminally referring Jerome Powell to the DOJ to investigate perjury regarding his crazy $2.5BN building.

— Rep. Anna Paulina Luna (@RepLuna) July 17, 2025

On July 18, Rep. Luna announced she’d sic the DOJ on Powell (which she did by July 21), just a week after White House budget czar Russell Vought fired off a letter moaning about the Fed’s renovation splurge. Vought compared it to Versailles, noting the palace cost a mere $3 billion—only half a billion more than the Fed’s folly. Oh, the irony of government excess! 😏

Chairman Jerome Powell has grossly mismanaged the Fed.

While continuing to run a deficit since FY23 (the first time in the Fed’s history), the Fed is way over budget on the renovation of its headquarters.

Now up to $2.5 billion, roughly $700 million over its initial cost.…

— Russ Vought (@russvought) July 10, 2025

Perjury might sound dreadfully serious, but let’s face it, this pile-on feels more like a partisan prank to corner Powell, especially since so many in Trump’s circle are fuming over his reluctance to cut rates. What a circus! 🎪

Operation Chokepoint 2.0 and Powell’s role in it

Once dismissed as a wild conspiracy theory, Operation Chokepoint 2.0 got a reality check when Coinbase dug up documents showing the FDIC and DOJ strong-armed banks into ditching crypto clients during the Biden years—often with vague excuses that left everyone in the lurch. Poor crypto firms and retail investors were left high and dry. 😩

The Fed wasn’t the ringleader, but they certainly didn’t play hero, turning a blind eye while banks cut off customers. Some even accused the Fed of direct debanking, and getting a Master Account was like pulling teeth for crypto outfits. No wonder Powell’s painted as the villain—he’s been in the hot seat since 2018. And his past snipes at crypto as a hotbed of fraud didn’t help; though recently, he swore off such unconstitutional antics. How noble of him, after the damage was done! 🙄

Powell vs. Trump standoff

In 2025, Trump has been badgering Powell to slash rates, tossing around nicknames like “Mr. Too Late” or “Numbskull” with all the grace of a bull in a china shop. Amid tariff tantrums and economic jitters, Trump wants a weaker dollar to juice trade, but Powell’s crew is fixated on taming inflation, refusing to play ball. The Fed’s inching toward pre-pandemic price stability but hasn’t quite nailed it, leading to this delightful deadlock. 😏

Trump’s demanded Powell’s head and even threatened to fire him—then backpedaled, of course. But firing the Fed chair requires Supreme Court theatrics since the agency’s supposed to be independent. Enter Jonathan Chait from The Atlantic, who wryly observes that Trump only gripes about high rates under Dems and begs for cuts under Republicans. How predictably partisan! 😂 Trump’s vision? Slow the economy for foes, speed it up for friends—charming, isn’t it?

Possible implications of Powell’s resignation

If Powell throws in the towel, it could spark two fresh inflationary woes: First, flaunting such brute force over an independent agency might erode global faith in U.S. stability—imagine the snickers abroad! 😬 Second, if a Trump yes-man takes over and starts hacking at rates, inflation could flare up, just as Powell warned. And what’s the fallout? Crypto might heat up as folks flee to “safer” havens, much like the 2021 market meltdown. History rhyming again—how quaint! 😉

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2025-07-23 21:19