Cryptocurrency revolution: Trump announces new strategic reserve

Cryptocurrency revolution: Trump announces new strategic reserve

United States President Donald Trump recently took a major step in the digital asset space when he announced that his administration has been ordered to create a strategic cryptocurrency reserve. This reserve includes well-known cryptocurrencies such as Bitcoin (BTC), Ethereum (ETH), Solana (SOL), XRP and Cardano (ADA). This shift in approach to digital currencies was highlighted during his keynote speech at the Bitcoin 2024 conference held in Nashville, Tennessee.

During the conference, Trump stated, "It will be the policy of my administration to preserve 100% of all Bitcoins currently held or acquired by the government. One hundred percent we will keep." This statement underscored his commitment to building a national stockpile of bitcoins that will become the core of the Strategic Reserve.

President Trump's change in tone on cryptocurrencies is significant. He has faced criticism from bitcoin maximalists following his January 23 executive order calling for a digital asset task force to explore the possibility of creating a "digital asset stockpile." They feared that including other digital currencies in the reserve could threaten Bitcoin's purity as a primary cryptocurrency.

In addition to the cryptocurrencies mentioned, Trump also confirmed the inclusion of Ethereum and other prominent digital assets in the reserve, signalling a broader approach to cryptocurrency regulation in the US. His executive order also touches on the regulatory framework for stablecoins and prohibits central bank digital currency research and development (CBDC).

Reaction to Trump's strategy has been mixed. While some supporters welcome the change, others, including prominent figures in the crypto community, have expressed concern about the vague wording of the order and its potential impact on Bitcoin. Pierre Rochard, vice president of research at mining company Riot Platforms, expressed concern about how the language of the executive order deviates from the president's previous promises to bitcoin enthusiasts.

There's another major event on the horizon: President Trump plans to host the first Crypto Summit at the White House on March 7. At this summit, the future of cryptocurrency regulatory policy will be discussed, and attendees will be able to share views with industry leaders and the Digital Assets Task Force.

Trump's new crypto strategy could mark a major shift in the US approach to digital assets and their regulation, sparking a heated debate in the community about the future of cryptocurrencies in the country. As the situation unfolds, it will be interesting to see what steps the president and his administration take to encourage the development of this dynamic field.

*This is not an investment recommendation.

Coingarage Team