OKX Chief Marketing Officer Highlights Economic Dangers of a US Strategic Bitcoin Reserve
The post OKX Chief Marketing Officer Highlights Economic Dangers of a US Strategic Bitcoin Reserve appeared on BitcoinEthereumNews.com.
Bitcoin enthusiasts have long touted the creation of a strategic Bitcoin reserve as a hedge against inflation that can reduce the national debt and reinforce the United States’ position as a global financial leader. Its implementation could also unleash several damaging effects on the US economy, with consequences rippling across the globe. BeInCrypto spoke with Haider Rafique, the Chief Marketing Officer at OKX Exchange, to break down the risks of creating a strategic Bitcoin reserve. Strategic Bitcoin Reserves Grow in Popularity The concept of a strategic Bitcoin reserve has gained notable popularity over the years, both in the United States and worldwide. A strategic reserve is a stock of crucial resources acquired by the federal government that can be used to address significant supply disruptions. Many crypto enthusiasts have been campaigning for governments to adopt Bitcoin as a strategic reserve. In the United States, 15 states have already introduced or passed bills to do just this. Republican Wyoming Senator Cynthia Lummis was one of the first politicians to introduce this type of legislation at a federal level. Lummis calls for the US Treasury to acquire one million Bitcoin over five years in her proposed BITCOIN Act. The Bitcoin reserve would be kept intact for at least 20 years. Countries like Germany, Switzerland, Russia, Brazil, and Poland have also taken steps in the same direction. However, several major players in the finance industry fear intense economic instability and pervasive market volatility if a strategic Bitcoin reserve is created. This fear is particularly relevant if the United States were to establish such a reserve, given its role as the custodian of global trade and issuer of the world’s reserve currency. “On its face, the idea of a Bitcoin National Reserve seems like a good one – it would serve as an…
Filed under: News - @ February 6, 2025 11:24 am