Coinspeaker Trump: Government Should Hold Bitcoin, Calls It ‘Modern Currency’
During a recent presidential campaign, former US president and current Republican Party candidate Donald Trump expressed his views on the government’s Bitcoin sell-offs. He criticized the sale of Bitcoin and suggested that the focus should be on fostering its growth.
Trump highlighted the competitive landscape, noting that if the US refrains from supporting Bitcoin, other nations, particularly China, will continue to do so. He described Bitcoin as a “very modern currency,” stating:
“[Bitcoin is] a very modern currency, and I know a lot of smart people who are into that world, and they think it’s very beneficial.”
The US government has accumulated Bitcoin assets through seizures from financial criminals during high-profile sting operations. As per the data by Arkham, it currently holds 203,238 BTC, worth around $10.73 billion. It also holds several other cryptocurrencies, including $117 million worth of Ethereum (ETH).
These assets are regularly auctioned off by the US Marshals Service. Such a sell-off can sometimes lead to drops in crypto prices, as seen recently when Germany liquidated hundreds of millions of dollars worth of Bitcoin it had confiscated.
In addition to his comments on Bitcoin, Trump also noted the importance of developments in the artificial intelligence (AI) sector. He stressed that AI is at the “top of his list” and acknowledged that while AI has its advantages and disadvantages, the U.S. must support it to prevent countries like China from taking the lead. Trump stated, “We can’t be left behind.”
Would Trump Create a Strategic Bitcoin Reserve?
Trump’s stance on government Bitcoin holdings is not new. At the recent Bitcoin Conference in Nashville, he promised that if elected, his administration would ensure that the US keeps 100% of all the Bitcoin it currently holds or acquires in the future. He criticized the government’s previous actions of selling Bitcoin, stating:
“For too long our government has violated the cardinal rule that every bitcoiner knows by heart: Never sell your Bitcoin.”
Many anticipated that Trump would announce an official US Bitcoin strategic reserve, but this did not happen. His proposal was less radical than expected, especially compared to third-party presidential candidate Robert F. Kennedy Jr., who pledged to build a Bitcoin strategic reserve to match the government’s current gold holdings.
It is important to note that a president cannot unilaterally establish a Bitcoin reserve. Such an implementation would require more than an executive order; it would necessitate new legislation and congressional approval. However, some lawmakers have already begun this process.
Senator Cynthia Lummis of Wyoming recently announced her intention to introduce new legislation to support the creation of a strategic Bitcoin reserve.
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Trump: Government Should Hold Bitcoin, Calls It ‘Modern Currency’
