Demand of Bitcoin Strategic Reserve for US Grows, Will Donald Trump Create Global FOMO?

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As a seasoned crypto investor with over a decade of experience in this dynamic market, I can confidently say that the potential for a Bitcoin strategic reserve by the United States is more than just a pipedream. The recent victory of Donald Trump, a known BTC supporter, has set the stage for a new era of digital currency adoption and acceptance on a global scale.

Just as Donald Trump clinched a resounding Republican victory yesterday, the crypto community anticipates the U.S. creating a strategic Bitcoin reserve in the near future. During his campaign, Trump expressed support for Bitcoin and even proposed the idea of holding it as a reserve to help alleviate the $35 trillion U.S. national debt by issuing Bitcoin checks.

Will the US Build Its Bitcoin Strategic Reserve?

Experienced figures within the cryptocurrency field and legislators have expressed their backing for establishing a strategic Bitcoin reserve. Following Trump’s election win yesterday, Wyoming Senator Cynthia Lummis shared on Twitter: “WE WILL ESTABLISH A STRATEGIC BITCOIN STASH”. Later, even Michael Saylor, the executive chairman of MicroStrategy, voiced his support for her idea via a tweet.

The United States needs a Strategic #Bitcoin Reserve.

— Michael Saylor (@saylor) November 6, 2024

Senator Cynthia Lummis has been advocating for Bitcoin extensively during the past few years. In a recent speech made at the Bitcoin 2024 conference in Nashville this July, she mentioned that once there’s a new administration at the White House, they plan to transform the surplus funds held by the 12 Federal Reserve banks of the US into Bitcoin gradually over a span of five years.

Additionally, she suggested that a portion of the United States government’s reserves should consist of at least 5% of the total Bitcoin supply, which equates to approximately 1 million Bitcoins. This is nearly four times the number of Bitcoins currently held by the US government, estimated to be around 218,000 Bitcoins based on data from Arkham Intelligence.

Will Donald Trump Trigger A Global FOMO?

In the wake of Donald Trump’s election win yesterday, Bitcoin has reached a new record price with increasing demands for $100K values. Yet, should Trump propose a strategic Bitcoin reserve for the U.S., this move could spark massive fear-of-missing-out (FOMO) among leading economies and central banks worldwide, as suggested by well-known crypto investor Anthony Pompliano.

Should the U.S. create a strategic Bitcoin reserve, it could trigger a worldwide fear of missing out (FOMO) on an unprecedented scale.

James Butterfill, leader of research at CoinShares, also pointed out: “If enacted, the Bitcoin Act could generate significant attention from institutions and governments towards Bitcoin, potentially speeding up its expansion and propelling its worth to unprecedented levels.” It may also lead to a surge in investments in Bitcoin spot ETFs in the near future.

According to Bitcoin analyst Dylan Leclair, it’s likely that the U.S. government will pass a law in the next three months allowing them to purchase Bitcoin as a strategic reserve asset. At the same time, other countries are expected to quietly take action, aiming to amass their own reserves beforehand. The clock is now ticking, he stated.

If this news verifies, it’s possible we won’t witness Bitcoin prices at their current levels in the future. But, just how high could Bitcoin climb from here? Matthew Sigel, head of digital assets at VanEck, predicts that by 2050, Bitcoin could be valued at $3 million and serve as a global reserve asset, increasing at a rate of 16% per year. This makes it a feasible goal.

Latest Update: VanEck anticipates that the value of Bitcoin could reach an astounding $3 million by the year 2050, with it being widely adopted as a global reserve asset.

— Watcher.Guru (@WatcherGuru) October 28, 2024

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2024-11-07 20:23