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United States seeks to consolidate a strategic reserve of bitcoin after Trump's victory

Crypto Report

November 6, 2024

10:30 PM

Bitcoin

 United States seeks to consolidate a strategic reserve of bitcoin after Trump's victory

U.S. Senator Cynthia Lummis has proposed an ambitious bill aimed at establishing a "Strategic Reserve of Bitcoin" for the United States. Following Donald Trump's recent victory in the elections, this legislative proposal has gained momentum, and the incoming administration appears willing to carry forward Lummis's vision to make bitcoin a strategic asset for the country.

Lummis's proposal, known as the "Innovative Investments Act for Enhancing National Competitiveness" (or "Bitcoin Bill"), is a milestone in the financial and legislative history of the U.S. This project not only aims to improve the country's competitiveness in the context of the global economy but also presents an innovative strategy to address national debt and strengthen the U.S. dollar. Lummis argues that to compete globally and adapt to the trends of economic digitalization, the United States needs a reserve of Bitcoin that serves as a base of value and security.

Senator Lummis emphasized that the Federal Reserve's acquisition of bitcoin would not only generate a new source of value for the country but would also boost the competitiveness of the U.S. in the global market. The plan is for the U.S. to accumulate up to 5% of the total Bitcoin supply, which would entail purchasing approximately 1 million BTC annually.

Trump's election has had an immediate impact on the cryptocurrency market outlook. During his campaign, Trump demonstrated a clear interest in developing a pro-crypto policy that would allow the U.S. to compete in the digital asset market. His victory is perceived as a favorable signal for the crypto community, $BTC