- There is growing speculation that the US government could hold Bitcoin as a reserve currency, especially if Donald Trump is re-elected as president.
- CNBC analysts suggest that under a Trump administration, the US Justice Department’s holdings of around 200,000 BTC (worth $13B) could be transferred to the Treasury Department as a reserve asset.
- Rumors circulate that Trump may announce a plan for Bitcoin to become a US reserve asset at the upcoming Bitcoin Conference 2024.
The idea of the US government holding Bitcoin as a reserve currency is gaining traction. With Donald Trump potentially returning to the White House after the 2024 election, the future of cryptocurrency in America is up for debate. As a Bitcoin supporter, Trump could make major moves if re-elected.
Growing Speculation on Bitcoin’s Importance
There is increasing speculation about Bitcoin’s potential importance to the US government in coming years. Trump has considered himself the “first crypto president” if elected again and supports BTC. Now, CNBC suggests that thanks to Trump, the US government may hold Bitcoin reserves.
How the US Could Begin Holding Bitcoin
CNBC Bitcoin analysts propose that although difficult, a Trump administration could start holding BTC reserves. For months, speculation has grown this could occur if Trump wins, since the US already holds the most Bitcoin globally. The US Justice Department currently holds around 200,000 BTC worth $13 billion.
Concerns Over Bitcoin Sales by US Government
Some worry that if the US Justice Department continues selling its Bitcoin, it would hurt BTC’s price. However, if the Bitcoins were transferred to the US Treasury Department, they could amass billions in the top cryptocurrency and boost its value. Under a pro-Bitcoin president like Trump, this move would be hard but possible.
Rumors of a Bitcoin Reserve Currency Announcement
Insiders have predicted Trump could announce a plan for Bitcoin as a reserve asset if re-elected. Simon Dixon shared rumors of such a unveiling leading up to the 2024 Bitcoin Conference. This kind of announcement would be hugely impactful for crypto and BTC. Throughout his campaign, Trump has voiced support for cryptocurrencies and wants America to lead globally.
Potential for US Government to Become a Major Bitcoin Holder
If the US held Bitcoin reserves, it could become one of the largest BTC holders. As Bitcoin grows and gains more hype and real-world use, its value will likely keep rising. Upcoming Ethereum ETF launches could also boost BTC by giving Bitcoin ETFs healthy competition.
