The President-elect of the United States has proposed creating a strategic bitcoin reserve similar to the Strategic Petroleum Reserve.
Bitcoin hit a new all-time high late this Sunday (15), trading above $106,000. This surge was driven by comments from U.S. President-elect Donald Trump, who hinted at plans to create a strategic cryptocurrency reserve in the country, akin to the nation’s oil reserve.
"We’re going to do something great with crypto because we don’t want China or anyone else—not just China, but others embracing it—and we want to be the leader," Trump told CNBC late last week.
When asked if he plans to build a cryptocurrency reserve similar to oil reserves, Trump responded: "Yes, I think so."
Other countries have also considered creating strategic cryptocurrency reserves.
Russian President Vladimir Putin, for example, questioned earlier this month the need for state reserves in foreign currencies, arguing that domestic investments of these reserves are more attractive.
Putin criticized the current U.S. administration for undermining the U.S. dollar's role as a global reserve currency by using it for political purposes, pushing many nations to turn to alternative assets, including cryptocurrencies.
"For instance, bitcoin—who can ban it? No one," said Putin.
However, skepticism remains. Federal Reserve (Fed) Chairman Jerome Powell compared bitcoin to gold earlier this month.
"People are not using it as a means of payment or a store of value. It’s highly volatile, not a competitor to the dollar," Powell stated.
Crypto Surge
Bitcoin has soared more than 50% since the November 5th election, which saw Trump and other pro-crypto candidates win office. The total cryptocurrency market value has nearly doubled this year, reaching a record of over $3.8 trillion, according to data provider CoinGecko.
This rally is partly due to Trump’s strong support for cryptocurrencies, with investors anticipating favorable policies for the market during his term.
In late July, during his presidential campaign, Trump attended the Bitcoin 2024 conference and assured attendees they would be "very happy" with his potential victory.
"If crypto is going to define the future, I want it mined, minted, and manufactured in the United States," the Republican said.
This pro-crypto stance marks a shift in Trump’s rhetoric. Just a few years ago, he publicly opposed such assets.
In a 2019 post on X (formerly Twitter), Trump declared that he was "not a fan" of bitcoin and other cryptocurrencies, labeling them as "not money" with "highly volatile and baseless value."
"Unregulated crypto assets can facilitate unlawful behavior, including drug trade and other illegal activities," he said at the time.
According to experts interviewed by G1, this change in stance reflects the evolving profile of U.S. voters, who increasingly own cryptocurrencies.
Translated by Artificial Intelligence
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