US Bitcoin reserves a win-win for inflation and BTC’s value
The post US Bitcoin reserves a win-win for inflation and BTC’s value appeared on BitcoinEthereumNews.com.
Disclosure: The views and opinions expressed here belong solely to the author and do not represent the views and opinions of crypto.news’ editorial. Earlier this month, President Trump reinvigorated crypto markets with his announcement of five cryptocurrencies for U.S. strategic reserves: Bitcoin (BTC), Ethereum (ETH), XRP (XRP), Solana (SOL), and Cardano (ADA). In making this announcement, Trump has opened the door to a new financial era and created an opportunity for Bitcoin and other cryptocurrencies to go toe-to-toe with the leader in global reserve fiat currency, the US dollar. How did Bitcoin get here? The Bitcoin revolution started and grew as a reactionary movement to another global financial event, the 2008 financial crisis that was driven by an unsustainable housing bubble propped up by poor lending practices and toxic assets. The interventions made by central banks to correct the problem—including the bailout of institutions “too big to fail”—demonstrated to Bitcoin whitepaper writer and “inventor” Satoshi Nakamoto what they had already long believed about the fundamental problems of centralized economics and the need for a decentralized “e-cash.” The Bitcoin blockchain itself went live when Satoshi embedded the following message in the genesis block: “The Times 03/Jan/2009 Chancellor on brink of second bailout for banks.” The current era might be even more auspicious for driving the second wave of the Bitcoin revolution, especially if you believe Bitcoin is strong enough to become something like digital gold or a global reserve currency. The problem presented by the current era is not that of the bailout but the fundamental problem of fiat currency itself, that sticky problem of inflation. Prone to centralized currency manipulation and with countries still drowning in the fiat pumped out during and after the COVID-19 crisis, inflation has proven to be a fundamental complication that has bedeviled leaders across the…
Filed under: News - @ March 23, 2025 11:27 am