MicroStrategy’s Saylor Says US Needs Bitcoin Reserve as BTC Price Reaches New ATH

As a seasoned analyst with over two decades of experience in the financial markets, I find myself intrigued by the proposal to establish a strategic Bitcoin reserve. Having witnessed the evolution of digital currencies and their potential impact on traditional finance, I can appreciate the forward-thinking nature of such an initiative.


In a recent social media update, MicroStrategy’s co-founder Michael Saylor expresses his endorsement for the concept of establishing a tactical Bitcoin (BTC) reserve.

At 19:55 UTC, the top cryptocurrency reached a new peak price of $75,889 on the Bitstamp platform.

U.S. Senator Cynthia Lummis (R-WY) initially introduced such a proposal back in July. 

The strategic reserve would “bolster” the country’s balance sheet, serving as a store of value.

The legislation would establish a network of Bitcoin vaults with the highest security standards. 

Over a period of five years (from 20XX to 20XX), the U.S. government plans on acquiring approximately 1 million Bitcoins, or around 5% of the total Bitcoin supply, distributed evenly at 200,000 coins per year. This strategic acquisition aims to minimize market disturbances.

As per the proposed plan, those coins held in reserve cannot be sold for a period of twenty years.

To maintain transparency, it’s crucial that the Bitcoin reserve provides a regular, publicly verifiable cryptographic confirmation. Every three months, these confirmations should be made available on the U.S. Department of the Treasury’s official website.

The idea of creating the reserve has been naturally embraced by the proponents of the leading cryptocurrency since they believe that Bitcoin could strengthen the country’s economic security. 

However, some critics claim that Bitcoin is not a crucial commodity like petroleum, arguing that such a proposal would be divorced from reality. They believe that prompting Bitcoin’s mainstream adoption is not a national security objective for the US. 

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2024-11-06 23:04