Kwasi Kwarteng, the UK’s former Chancellor of the Exchequer who served only weeks in September 2022, is re-emerging with a new focus on bitcoin, monetary history and long-term economic thinking.
Reflecting on the infamous mini-budget in an interview with CoinDesk, he was candid about the missteps. “The mini budget was literally two weeks after we took office, it was just very, very rushed business,” he said, referring to the period immediately after the accession on September 6, followed by the death of Queen Elizabeth II two days later. The compressed timeline left little room for coordination or scrutiny. The fallout was severe, sending gilt yields sharply higher and helping to expose Britain’s liability-driven investment pension crisis.
Kwarteng still defends the intent behind the policy, warning that Britain is now stuck in a fiscal “doomsday loop” where “you spend more money than you can raise in taxation,” and rising taxes ultimately “kill incentives in the economy.”
He also criticized the short-termism that dominates both politics and markets. “Everything is driven quarterly, people are either euphoric or freaked out. And actually you have to look further.”
That longer view now shapes his thinking about bitcoin and money more broadly. While in office, he said, “The Treasury, the Bank of England are certainly paying attention to bitcoin and digital assets, but they are still incredibly small,” highlighting what he sees as Britain’s reluctance to embrace innovation.
He also pointed to a cultural gap with Europe, noting that Paris is becoming “quite forward-looking, leaning on digital assets.”
Kwateng also pushed back on criticism from Boris Johnson after the former prime minister claimed Bitcoin was a “Ponzi”, arguing instead for a more open-minded view of new forms of money.
A new bitcoin treasury venture
Now involved in UK bitcoin tax company Stack BTC (STAK) as executive chairman, Kwarteng is putting these ideas into practice, with the company holding 31 BTC on its balance sheet.
The firm has attracted increasing political attention, with Reform UK leader Nigel Farage taking a 6% stake in the company.
For Kwarteng, the shift reflects a move away from reactive policymaking toward what he sees as a more resilient monetary future based on long-term thinking.
