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$250B Bitcoin Reserve? Pompliano’s Vision to Make US the King of Crypto

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Sheena Jordan reporter

Thu, 21 Nov 2024, 03:28 am UTC

Pompliano envisions a $250B Bitcoin reserve to position U.S. at the top of global crypto dominance. Credit: EconoTimes

Anthony Pompliano has called on the U.S. to allocate $250 billion for a Bitcoin Strategic Reserve, arguing it could stabilize the dollar and establish America as the world’s largest Bitcoin holder, a crucial step as global crypto adoption accelerates.

U.S. Should Act Quickly to Secure Bitcoin Dominance
According to Anthony Pompliano, the US should be one of the first countries to use Bitcoin as a national currency. What he called a "technology product built to protect against currency debasement" was actually Bitcoin, and he advocated printing $250 billion to put into it, Coingape shares.

He claims that Bitcoin is an effective inflation hedge due to its finite supply of 21 million coins. As other nations, such as Bhutan and El Salvador, are becoming more accepting of Bitcoin, Bitcoin enthusiasts recently expressed the opinion that Donald Trump should establish the Bitcoin reserve.

More and more companies are considering adding Bitcoin to their balance sheets, according to Pompliano's latest comments. As an illustration of how firms experiencing currency devaluation could benefit from owning Bitcoin, he mentioned MicroStrategy's success in 2024.

Pompliano’s Proposal for a $250B Bitcoin Reserve
He insisted that other countries should do the same, stressing that the United States might get a large chunk of the limited digital currency if it adopted it first.

If the average price of a Bitcoin were $150,000, then according to Bitcoin enthusiast Anthony Pompliano's calculations, the US could buy almost 1.6 million BTC with $250 billion. The United States would then have a reserve of 1.8 million Bitcoins, making it the biggest Bitcoin holder in the world when added to the 200,000 BTC now in U.S. possession, according to reports.

Amid growing debates over Bitcoin's place in national reserves, prominent politicians and bankers have issued a call to action. A Bitcoin Strategic Reserve has been suggested by Senator Cynthia Lummis, and the incoming president, Donald Trump, has voiced his support for using the government's existing Bitcoin holdings as a starting point.

Skepticism vs. Support in the Financial Sector
Notable personalities such as Robert F. Kennedy Jr. have joined MicroStrategy Chairman Michael Saylor in endorsing daily Bitcoin purchases as part of broader financial strategies.

Some have backed the notion of a Bitcoin Strategic Reserve, but others are skeptical. According to Fox Business's sources, one of the biggest asset managers in the world, BlackRock, does not now support the idea.

Another large financial company, VanEck, has publicly supported the notion, indicating that institutional interest in Bitcoin is on the rise.

Global Trends Highlight Bitcoin’s Growing Importance
As other countries consider comparable approaches, Pompliano's idea is also in line with current trends.

Slawomir Mentzen, a presidential candidate in Poland, has called for a Bitcoin reserve, saying that the country should take advantage of Bitcoin's rising popularity and value. The price of Bitcoin has risen to an all-time high (ATH) above $94,000, drawing the attention of investors and lawmakers around the world, and these debates are happening against that backdrop.

Then, Bitcoin supporter Anthony Pompliano framed Bitcoin as a solution to the problems caused by the dollar's decline in value and the skyrocketing national debt. According to him, the United States needs to move swiftly if it wants to control the majority of Bitcoins before other countries do.

"This is the type of action that would cost us very little financially but could have a profound impact on our financial health in the future," Pompliano said.

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