On December 28, PANews reported that Ki Young Ju, founder and CEO of CryptoQuant, stated on the X platform: “Throughout history, whenever the United States feels that its dominant position in the global economy is threatened, gold prices soar, and debates surrounding the gold standard gain attention. In the late 1990s, Peter Schiff advocated that gold is the true form of currency, much like today’s Bitcoin extremists advocate for Bitcoin. These supporters, known as 'gold bugs', wish to restore the gold standard. However, despite a resurgence of interest during economic crises, the U.S. has always avoided this shift, relying instead on creative solutions to sustain growth. Over the past 50 years, the gold standard has been a relic of the past. Now, Bitcoin seems to be filling the ideological space once occupied by gold. I personally support the idea of a Bitcoin standard.
However, I doubt whether the U.S. will continue to grow while other economies stagnate and adopt Bitcoin as a strategic asset. For this debate to make significant progress, the U.S. needs to see its global economic dominance genuinely threatened. Currently, market sentiment suggests confidence in the U.S. maintaining its hegemonic status. While it is conceivable that the U.S. government might purchase Bitcoin for risk management or economic leverage, its motives may differ significantly from the imaginations of Bitcoin holders. The idea of buying Bitcoin in preparation for a Bitcoin standard or as a tool to defend the dollar system seems far removed from current reality. With global capital flowing into the U.S., many still believe the dollar's dominance is solid. Even before his inauguration, Trump constantly warned other world leaders of the power gap between the U.S. and other countries. Such rhetoric, combined with increased capital inflows into the dollar, may boost confidence in dollar hegemony. Around me, many Koreans choose the dollar as a safe haven rather than gold or Bitcoin, especially in light of the depreciation of the won.
If Trump successfully demonstrates the resilience of the U.S. economy, consolidates the dollar's hegemony, and improves his approval ratings, it remains to be seen whether he will continue to maintain the strong pro-Bitcoin stance he exhibited during his campaign. He could easily abandon his advocacy for Bitcoin, citing changed priorities, without alienating his voter base. Undeniably, Trump is a skilled politician capable of strengthening the U.S. position. However, to what extent he intends to realize his campaign statements about Bitcoin remains uncertain. At the Bitcoin conference, Trump mentioned Bitcoin as a strategic asset; is this his genuine step towards preparing for a Bitcoin standard, or merely a carefully crafted move to gain votes?
