Bitcoin has shot up more than 40% since Donald Trump’s victory in the US presidential election, in part on hopes that he’ll champion a government reserve devoted entirely to the cryptocurrency. He supported the idea during his campaign, and crypto-friendly legislators have offered ways to make it happen.
It's hard to fathom how this would benefit most Americans.
Bitcoin has some positive attributes. It’s portable — you can keep millions of dollars’ worth on a thumb drive. It’s semi-anonymous, in the sense that holders are identified only by a public alphanumeric key. It can be transferred to anyone, anywhere without relying on government-regulated banks or other traditional financial intermediaries. And adding it to a portfolio of stocks and bonds might provide some diversification benefit.