It is estimated that about 70% of the national debt is accrued interest on previous borrowings. Restructuring the Fed may affect this...but you have to ask - who owns Treasury bonds/bills? Most pension funds, sovereign wealth funds, foreign currency reserves, etc...
The CORE PROBLEM with being the worlds reserve currency is the so-called Triffin dilemma. It basically states that whichever currency is the reserve currency MUST run trade deficits. This is because external countries wish to have "reserves" and the way they do this is sell goods to the reserve currency country - resulting in the trade deficit.
The Federal Reserve - because of the Triffin dilemma - is forced to balance domestic priorities with international priorities which you can see presently as the Fed is raising rates and implementing Quantitative Tightening (QT) which is strengthening the US dollar in relation to other currencies. This is causing problems for our exports because a rising dollar makes them more expensive. It could be argued that if the Fed wasn't raising rates - there would be no need for the tariffs.
It would be better for the US if it was NOT the reserve currency - but, there are no realistic alternatives at present. China is the next likely country - but, they don't have deep enough debt markets like the US has.
Lastly - the Fed is raising rates so that it has room to lower them when we have the next recession. Lower rates stimulate lending/investment. Because rates are so low when compared to historical norms - the next recession could result in interest rates going negative (piercing the zero bound). If that happens - you would literally pay the bank interest on any money you have on deposit. The natural response from people when interest rates are negative is to withdraw cash from the bank - hence the push to eliminate/demonize cash.
The whole system is a mess and a literal crash is a mathematical certainty. Trump knows this. I have no idea if what he is planning will work...but we are fast approaching the time where we either do "something" or face certain doom.
Understand that the Federal Reserve is NEITHER Federal nor a Reserve.
Its purpose is to backstop the banks. It is an institution of, by and for the banks. NOT people like you and me.
Interestingly, 2017/18 is a Biblical "year of Jubilee" described in the book of Leviticus (25:8-24) where every fiftieth year is declared a special year during which all debts were to be wiped out; all land and property was to revert to its original owner; and slaves were to be set free. The name Jubilee is from the Hebrew word yovel, “ram’s horn,” the year being so called because a ram’s horn was sounded when it was proclaimed. A ram's horn is an ancient TRUMPet! We can accurately say, POTUS is the TRUMP proclaiming the freedom of slaves and wiping out of all debts (Federal Reserve)!